Module: General Practice
Q27: As per the Foreign Exchange (Compounding Proceedings) Rules, 2024 (which superseded the 2000 Rules), the monetary limit for an Assistant General Manager (AGM) of the RBI to compound a contravention has been significantly enhanced. What is the new limit?
✅ Correct Answer: C
The Government overhauled the compounding limits to facilitate ease of doing business.
Old Limit (2000 Rules): An AGM could only handle cases up to ₹10 Lakhs.
New Limit (2024 Rules): An Assistant General Manager (AGM) can now compound contraventions involving a sum up to ₹60 Lakhs.
Other New Limits: Deputy General Manager (DGM): Up to ₹2.5 Crore (was ₹40L). General Manager (GM): Up to ₹5 Crore (was ₹1Cr). Chief General Manager (CGM): Above ₹5 Crore.
Old Limit (2000 Rules): An AGM could only handle cases up to ₹10 Lakhs.
New Limit (2024 Rules): An Assistant General Manager (AGM) can now compound contraventions involving a sum up to ₹60 Lakhs.
Other New Limits: Deputy General Manager (DGM): Up to ₹2.5 Crore (was ₹40L). General Manager (GM): Up to ₹5 Crore (was ₹1Cr). Chief General Manager (CGM): Above ₹5 Crore.