Current based PRELIMS QUESTION 2 May 2020

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1. Consider the following statements the Dogra dynasty.
1. Maharaja Gulab Singh founded the Dogra dynasty and became the first monarch of J&K.
2. Maharaja Gulab Singh of Dogra Dynasty signed the Treaty of Amritsar with the British East India Company in 1846.
Which of the statement(s) given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
1. Answer-c
Explanation
Resolutions have been passed to rename the Jammu Airport and the Jammu University after Hindu Dogra monarchs Maharaja Hari Singh and Maharaja Gulab Singh, respectively.
Maharaja Gulab Singh founded the Dogra dynasty and became the first monarch of J&K in 1846.
Maharaja Hari Singh was the last Dogra monarch, who acceded to India in 1947.
Soon after the accession, an interim state government was instituted by a proclamation made by the Maharaja on March 5, 1948.

2. Consider the following statements regarding the National Chambal Sanctuary.
1. The Union Government has recently declared the National Chambal Sanctuary in Madhya Pradesh, home to gangetic dolphins and 75% population of critically endangered species gharial, as Eco-Sensitive Zone (ESZ).
2. The Sanctuary begins in the Vindhyan Ranges, extends along the Chambal River and ends in Yamuna River.
3. It is spread across Rajasthan, Madhya Pradesh and Uttar Pradesh.
Which of the statement(s) given above is/are correct?
(a) 2 and 3 only
(b) 1 and 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
2. Answer-d
Explanation-
The Union Government has recently declared the National Chambal Sanctuary in Madhya Pradesh, home to gangetic dolphins and 75% population of critically endangered species gharial, as Eco-Sensitive Zone (ESZ).
Being declared as Eco Sensitive Zone, construction of resorts, hotels or other residential and industrial activities are prohibited.
The Sanctuary begins in the Vindhyan Ranges, extends along the Chambal river and ends in Yamuna river.
It is spread across Rajasthan, Madhya Pradesh and Uttar Pradesh.

3. Consider the following statements with respect to the Fugitive Economic Offenders Act, 2018.
1. An FEO is a person against whom a case has been filed for any specified offences involving an amount 100 crores and who has left the country to escape prosecution.
2. It also states that the property of the FEO may be confiscated and vested in the central government.
Which of the statement(s) given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
3. Answer-b
Explanation

4. Consider the following statements regarding the National Financial Reporting Authority (NFRA).
1. It was constituted on October, 2018 by the Government of India under the Companies Act, 2013.
2. The Authority shall have power to monitor and enforce compliance with accounting standards and auditing standards, oversee the quality of service.
Which of the statement(s) given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
4. Answer-c
Explanation
The National Financial Reporting Authority (NFRA)
NFRA was constituted on 01st October, 2018 by the Government of India under Sub Section (1) of section 132 of the Companies Act, 2013.
Functions and Duties
As per Sub Section (2) of Section 132 of the Companies Act, 2013, the duties of the NFRA are to:

 Recommend accounting and auditing policies and standards to be adopted by companies for approval by the Central Government;
 Monitor and enforce compliance with accounting standards and auditing standards;
 Oversee the quality of service of the professions associated with ensuring compliance with such standards and suggest measures for improvement in the quality of service;
 Perform such other functions and duties as may be necessary or incidental to the aforesaid functions and duties.
 Sub Rule (1) of Rule 4 of the NFRA Rules, 2018, provides that the Authority shall protect the public interest and the interests of investors, creditors and others associated with the companies or bodies corporate governed under Rule 3 by establishing high quality standards of accounting and auditing and exercising effective oversight of accounting functions performed by the companies and bodies corporate and auditing functions performed by auditors.
 Companies and Bodies Corporate Governed by the Authority

As per rule 3 of the NFRA rules,2018,The Authority shall have power to monitor and enforce compliance with accounting standards and auditing standards, oversee the quality of service under sub-section (2) of section 132 or undertake investigation under sub-section (4) of such section of the auditors of the following class of companies and bodies corporate, namely:-
(a) Companies whose securities are listed on any stock exchange in India or outside India;
(b) Unlisted public companies having paid-up capital of not less than rupees five hundred crores or having annual turnover of not less than rupees one thousand crores or having, in aggregate, outstanding loans, debentures and deposits of not less than rupees five hundred crores as on the 31st March of immediately preceding financial year;
(c) Insurance companies, banking companies, companies engaged in the generation or supply of electricity, companies governed by any special Act for the time being in force or bodies corporate incorporated by an Act in accordance with clauses (b), (c), (d), (e) and (f) of sub-section (4) of section 1 of the Act;
(d) Anybody corporate or company or person, or any class of bodies corporate or companies or persons, on a reference made to the Authority by the Central Government in public interest; and
(e) A body corporate incorporated or registered outside India, which is a subsidiary or associate company of any company or body corporate incorporated or registered in India as referred to in clauses (a) to (d), if the income or networth of such subsidiary or associate company exceeds twenty percent of the consolidated income or consolidated networth of such company or the body corporate, as the case may be, referred to in clauses (a) to (d).
https://www.mca.gov.in/SearchableActs/Section132.htm

5. Consider the following statements regarding the Panchayati Raj Institution (PRI) in India.
1. PRI was constituted through the 73rd Constitutional Amendment Act, 1992 to build democracy at the grass roots level and was entrusted with the task of rural development in the country.
2. Article 40 made a mention of panchayats and Article 246 empowers the state legislature to legislate with respect to any subject relating to local self-government.
3. A committee headed by Balwant Rai Mehta suggested a two tier PRIs, namely, Grama Panchayats at the village level, Panchayat Samiti at the block level, and Zilla Parishad at the district level.
Which of the statement(s) given above is/are correct?
(a) 2 and 3 only
(b) 1 and 2 only
(c) 1 and 3 only
(d) 1, 2 and 3

5. Answer-B