GK Quiz | 20 March 2020

1. Which of the following correctly describes bilateral netting agreement?

1. It is a bilateral agreement to set off the taxes between a company and its subsidiary.
2. It is an agreement where goods can be exchanged for goods.
3. It is an agreement between two parties to offset claims against each other and concluding a single net payment.
4. None of the above.

Ans. C

Explanation

Bilateral netting agreement means the setting of claims between two parties and for concluding net payment. The cabinet is mulling to approve the Bilateral Netting of Qualified Financial Contracts Bill, 2020. Currently, bilateral netting is not allowed in India.

The bilateral netting can reduce credit risk, free up capital for other productive uses, reduce hedging costs and liquidity needs for banks, primary dealers and other market-makers, thus promoting participation in the OTC derivatives market to hedge against risk.  The US, UK, Australia, Canada, Japan, France, Germany, Singapore, and Malaysia have provisions to allow bilateral netting.

Hence, the correct answer is C.

 

2. Which of the following is incorrect about the Serious Fraud Investigation Organization?

1. Serious Fraud Investigation Organization is an investigating and prosecuting agency under the Ministry of Corporate Affairs.
2. It is a non- statutory body set up by the resolution.
3. It looks into the cases within the legal framework of the Companies Act, 1956.
4. The organization was set up on the recommendation of the Naresh Chandra Committee.

Ans. B

Serious Fraud Investigation Organization is an investigating and prosecuting agency under the Ministry of Corporate Affairs that looks into various fraud cases under the Companies Act. The legal framework or its jurisdiction has been defined under the Companies Act, 1956. The organization was set up via resolution adopted by the Government of India in 2003. It was given statutory status under Section 211 of Companies Act, 2013.

As per the Section 212(1) of the Companies Act, 2013, the central government can give an investigation case into the affairs of the company to SFIO on the request from the central or the state government’s departments, on a complaint by any other company, in the public interest, on receipt of a complaint from the registrar, etc.

Hence, the correct answer is B.

 

3. Which of the following is true about the Directorate General of Foreign Trade?

1. It is an attached office of the Ministry of Commerce and Industry.
2. It is responsible for implementing Foreign Trade Policy.
3. Kimberley Meet 2019 was chaired by the Directorate General of Foreign Trade.

Select the right answer from the codes given below:

1. 1,2 and 3
2. 1 only
3. 1 and 2 only
4. 1 and 3 only

Ans. A

Explanation

Directorate-General of Foreign Trade is an attached office of the Ministry of Commerce and Industry headed by the Directorate General of Foreign Trade. Right from its inception until 1991, when liberalization in the economic policies of the Government took place, this organization has been essentially involved in the regulation and promotion of foreign trade through regulation. Keeping in line with liberalization and globalization and the overall objective of increasing exports, DGFT has since been assigned the role of “facilitator”.

This Directorate, with headquarters at New Delhi, is responsible for formulating and implementing the Foreign Trade Policy with the main objective of promoting India’s exports. The DGFT also issues scrips/ authorization to exporters and monitors their corresponding obligations through a network of 38 regional offices and an extension counter at Indore. (Source: DGFT site)

India headed the Kimberley intergovernmental meet of 2019 held in Mumbai and was chaired by Directorate General of Foreign Trade. Kimberley Process Certification Scheme is an intergovernmental initiative aimed to curb the flow of conflict or rough diamonds (used to finance conflicts). It was established in 2003.

Hence, A is the correct answer.

 

4. Which of the following is true about the pardoning powers of the President?

1. The governor of a state cannot pardon a death sentence
2. If a death sentence has been given by the High court, then it goes to Supreme Court as a matter of right.
3. Both A and B
4. None of the above

Ans. C

Explanation

Under article 161 of the constitution, a governor cannot pardon the death sentence. Only a president can pardon a death sentence.

If a death sentence has been given by a high court or high court has taken a criminal case from the lower court and awarded a death sentence, then the appeal lies to the Supreme Court as a matter of right (without any certification from the high court) under the appellate jurisdiction of the Supreme Court.

Hence, the correct answer is C.

 

5. Which of the following is true about Ignaz Phillip Semmelweis?

1. He is known for proposing the practice of washing hands to reduce the cases of puerperal fever.
2. He is known for promoting Homeopathy worldwide.
3. Both A and B
4. None of the above

Ans. A

Explanation

Ignaz Phillip Semmelweis was a Hungarian physician and scientist, known as an early pioneer of antiseptic procedures. He is known for discovering that washing hands with a chlorinated lime solution can reduce the incidence of puerperal fever (childbed fever or bacterial infection of the mother’s reproductive tracts). This was very effective in curbing the maternal mortality rate. He was also known as the “Saviour of the mother”.

Hence, the correct answer is A.

 

6. Which of the following statement is true?

1. Former Chief Justice of India Ranjan Gogoi now can take part in the President’s election.
2. The President nominates 12 members each in Rajya Sabha and Lok Sabha based on their contribution in the field of art, science, and social service.
3. No anti-defection case can be carried out against former CJI Ranjan Gogoi if he joins any party on April 20, 2020.
4. There is cooling- off period of 2 years for the Supreme court judges after they leave or resign or get retired from their services.

Select the correct answer from the codes given below:

1. 1,2,3 and 4
2. 1,2 and 4
3. 3 only
4. 2 and 3 only

Ans. C

Explanation

Former CJI Ranjan Gogoi has been nominated as a member of Rajya Sabha.

Nominated members of both the Rajya Sabha and Lok Sabha cannot take part in the election of the President. However, they can take part in the impeachment of the President. Hence, statement 1 is incorrect.

The President has the power to nominate 12 members belonging to the field of literature, science, art and social service in the Rajya Sabha. Hence, statement 2 is incorrect.

A nominated member can be disqualified under anti-defection law if, after 6 months of his nomination to the house, joins any political party. Hence, statement 3 is correct.

There is no cooling-off period prescribed for the Supreme Court or high court judges in the constitution after they leave off their judicial services. Hence, statement 4 is incorrect.

Hence, the correct answer is C.

 

7. Negev 7.62X51 mm Light machine guns belong to which of the following countries?

1. India
2. Israel
3. S.A
4. Russia

Ans. B

Explanation

The Indian Defence Ministry has signed a contract with Israel Weapons Industries to procure 16479 Negev 7.62X51 mm Light machine guns. The guns are more lethal and have more range than the INSAS LMG that has a caliber of 5.56x45mm. The procurement will be made through the Fast Track Procedure under which the army needs not go through various formalities like a request for proposals, technical evaluation and trial evaluation for purchasing an established and tested product, etc. It is used for urgent contracts which have faced unusual delays.

Hence, the correct answer is B.

 

8. The excise duty alcohol used for the manufacturing of sanitizer comes under which of the following list?

1. Union list
2. State list
3. Concurrent list
4. None of the above

Ans A

Explanation

The excise duty on alcohol not for human consumption or alcohol used in medicinal products and toiletries containing alcohol comes under entry 84 of the union list under the 7^th schedule of the constitution.

Hence, A is the correct answer.