NISM Series X-A Chapter 20: Grievance Redress Mechanism Practice Questions

Question 1

Which of the following bodies is an independent autonomous watchdog set up by the Reserve Bank of India to ensure fair treatment for customers in their dealings with banks?

Accepted Answer

Banking Codes and Standards Board of India (BCSBI). Reserve Bank of India has set up the Banking Codes and Standards Board of India (BCSBI) as an independent autonomous watchdog to ensure that customers get fair treatment in their dealings with Banks

Question 2

If a complaint relates to the non-repayment of deposits or payment of interest by a Non-Banking Financial Company (NBFC), with which of the following bodies should the complaint be registered?

Accepted Answer

The National Company Law Tribunal (NCLT) or the Consumer forum. The text states, 'A complaint relating to the non-repayment of deposits or payment of interest by an NBFC should be registered with the National Company Law Tribunal (NCLT) or the Consumer forum.'

Question 3

Within how many days can a person aggrieved by a decision or order of the Securities Appellate Tribunal (SAT) file an appeal to the Supreme Court?

Accepted Answer

60 days. The text states, 'Any person aggrieved by any decision or order of the Securities Appellate Tribunal may file an appeal to the Supreme Court within 60 days from the date of communication of the decisions or order of the SAT to him.'

Question 4

Which of the following is a valid ground for making a complaint to the Insurance Ombudsman?

Accepted Answer

Any dispute about premium paid or payable in terms of the policy.. The text lists 'Any dispute about premium paid or payable in terms of the policy' as one of the grounds under which a complaint can be made to the Insurance Ombudsman

Question 5

An individual can approach the Banking Ombudsman if they have not received a satisfactory resolution from the concerned bank within what timeframe?

Accepted Answer

One month. The text states: 'If the grievance has been directly addressed to the concerned bank but the individual has not received a satisfactory resolution within one month, then they can approach the Banking Ombudsman.'

Question 6

A complaint relating to the non-repayment of deposits or payment of interest by a Non-Banking Financial Company (NBFC) should be registered with which of the following?

Accepted Answer

The National Company Law Tribunal (NCLT) or the Consumer forum.. The text explicitly states: 'A complaint relating to the non-repayment of deposits or payment of interest by an NBFC should be registered with the National Company Law Tribunal (NCLT) or the Consumer forum.'

Question 7

Which of the following complaints is NOT addressed by SCORES, the online investor redressal mechanism set up by SEBI?

Accepted Answer

Allegations without supporting documents.. SCORES does not address complaints that are incomplete, not specific, or allegations without supporting documents. Options A, C, and D fall under the purview of SCORES as per the text

Question 8

A person aggrieved by an order of the IRDAI or the PFRDA may prefer an appeal to which body?

Accepted Answer

The Securities Appellate Tribunal (SAT).. Section 15T of the SEBI Act states that any person aggrieved by an order (iii) Made by the IRDAI or the PFRDA may prefer an appeal to the SAT having jurisdiction in this matter

Question 9

An appeal to the Securities Appellate Tribunal (SAT) against an order of SEBI, IRDAI, or PFRDA must be filed within what period from the date of receipt of the order?

Accepted Answer

45 days. The text states: 'Every appeal should be filed within a period of 45 days from the date on which a copy of the order made by SEBI or the Adjudicating Officer or IRDAI or the PFRDA is received by him'

Question 10

Which of the following is NOT considered a valid 'grievance or complaint' under the National Pension System (NPS) as per the provisions of the PFRDA Act?

Accepted Answer

A communication offering suggestions for system improvement.. The text explicitly states that 'Grievances or complaint' do not include 'communications in the nature of offering suggestions'. Options A, B, and D fit the definition of a grievance

Question 11

Any person aggrieved by a decision or order of the Securities Appellate Tribunal (SAT) may file an appeal to which authority, and within what timeframe from the date of communication of the decision/order?

Accepted Answer

The Supreme Court, within 60 days.. The text states: 'Any person aggrieved by any decision or order of the Securities Appellate Tribunal may file an appeal to the Supreme Court within 60 days from the date of communication of the decisions or order of the SAT to him.'

Question 12

SEBI does not deal with which of the following types of complaints?

Accepted Answer

Complaints that are sub-judice.. The text states: 'Further, SEBI does not deal with the following complaints: ... Complaints that are sub-judice (relating to cases which are under consideration by court of law, quasi-judicial proceedings etc.)'

Question 13

Which of the following is a valid ground for making a complaint to the Insurance Ombudsman?

Accepted Answer

Any dispute about premium paid or payable in terms of the policy.. The text lists 'Any dispute about premium paid or payable in terms of the policy' as a valid ground for complaint to the Insurance Ombudsman. Seeking general guidance, dissatisfaction with investment returns (unless related to policy terms being violated), and sub-judice complaints are generally excluded

Question 14

Which independent autonomous watchdog was set up by the Reserve Bank of India to ensure that customers get fair treatment in their dealings with Banks?

Accepted Answer

Banking Codes and Standards Board of India (BCSBI). The Reserve Bank of India has set up the Banking Codes and Standards Board of India (BCSBI) as an independent autonomous watchdog

Question 15

A person aggrieved by an order made by the PFRDA wishes to file an appeal with the Securities Appellate Tribunal (SAT). Within what timeframe must this appeal be filed from the date of receiving a copy of the order?

Accepted Answer

Within 45 days.. Section 15T of the SEBI Act specifies that an appeal to the SAT must be filed within a period of 45 days from the date on which a copy of the order made by SEBI, an Adjudicating Officer, IRDAI, or PFRDA is received by the aggrieved person

Question 16

Under the Integrated Ombudsman Scheme, if an individual has directly addressed a grievance to their bank, but has not received a satisfactory resolution, what is the minimum waiting period before they can approach the Banking Ombudsman?

Accepted Answer

One month. The text explicitly states: 'If the grievance has been directly addressed to the concerned bank but the individual has not received a satisfactory resolution within one month, then they can approach the Banking Ombudsman.'

Question 17

SCORES, the online investor redressal mechanism by SEBI, can be used to register complaints against which of the following entities?

Accepted Answer

Companies, mutual funds, portfolio management schemes, and intermediaries like brokers and financial advisors.. The text mentions SCORES includes complaints against 'companies who have made share issues... in the primary or secondary markets, or against investment companies such as mutual funds, providers of portfolio management schemes, venture capital funds and others.' It also includes 'intermediaries who facilitate investing... such as brokers, merchant bankers, depositories and depository participants, registrars to the issue and transfer agents, distributors and financial advisors.'

Question 18

A subscriber to the National Pension System (NPS) has a grievance against an intermediary. After how many days from the initial complaint to the intermediary can the subscriber escalate the grievance to the NPS Trust, if not resolved? And subsequently, after how many days from the complaint to the NPS Trust can an appeal be preferred to the Ombudsman, if still unresolved by the NPS Trust?

Accepted Answer

30 days to NPS Trust; 30 days to Ombudsman.. The text outlines the process: '(1) Any subscriber whose grievance has not been resolved within thirty days from the date of receipt of the grievance by any intermediary... shall register a grievance with the NPS Trust... The NPS Trust shall... respond to the subscriber within thirty days from the date of receipt of the grievance... (2) The subscriber whose grievance has not been resolved by the intermediary within thirty days from the date of submission of the grievance to the NPS Trust, or who is not satisfied with the resolution provided by the NPS Trust shall prefer an appeal to the Ombudsman...' This indicates a 30-day period for resolution at the intermediary level before escalating to the NPS Trust, and another 30-day period at the NPS Trust level before appealing to the Ombudsman

Question 19

A person aggrieved by an order made by the IRDAI may prefer an appeal to which of the following bodies?

Accepted Answer

The Securities Appellate Tribunal (SAT). Section 15T of the SEBI Act states that 'any person aggrieved by an order... (iii) Made by the IRDAI or the PFRDA may prefer an appeal to the SAT having jurisdiction in this matter.'

Question 20

What is the time limit for an aggrieved person to file an appeal to the Securities Appellate Tribunal (SAT) against an order made by the SEBI Board, an adjudicating officer, IRDAI, or PFRDA?

Accepted Answer

45 days. According to Section 15T of the SEBI Act, 'Every appeal should be filed within a period of 45 days from the date on which a copy of the order made by SEBI or the Adjudicating Officer or IRDAI or the PFRDA is received by him'. The 60-day period applies to appeals from SAT to the Supreme Court

Question 21

If a subscriber to the National Pension System (NPS) has their grievance unresolved by an intermediary within thirty days, they can escalate it to the NPS Trust. If the NPS Trust then also fails to resolve the grievance within thirty days, what is the next step for the subscriber?

Accepted Answer

Prefer an appeal to the Ombudsman against the concerned intermediary or entity.. The text states: 'The subscriber whose grievance has not been resolved by the intermediary within thirty days from the date of submission of the grievance to the NPS Trust, or who is not satisfied with the resolution provided by the NPS Trust shall prefer an appeal to the Ombudsman against the concerned intermediary or entity.'

Question 22

Where should a subscriber to the National Pension System (NPS) initially raise a grievance?

Accepted Answer

Central Recordkeeping Agency (CRA). The text states: 'A subscriber to the National Pension System (NPS) can raise a grievance with the Central Recordkeeping Agency (CRA) on their website.'

Question 23

A subscriber to the National Pension System (NPS) has filed a grievance with the Central Recordkeeping Agency (CRA). If the grievance has not been resolved by the CRA by the end of thirty days, to whom should the subscriber escalate the grievance next?

Accepted Answer

The NPS Trust.. If the complainant is not satisfied with the redressal of his grievances or if it has not been resolved by CRA by the end of thirty days of the filing of the complaint, s/he may escalate the grievance to the NPS Trust

Question 24

If an NPS subscriber's grievance has not been resolved by the Central Recordkeeping Agency (CRA) within 30 days, or if they are not satisfied with the resolution, to whom should they escalate the grievance next?

Accepted Answer

NPS Trust. The text states: 's/he may escalate the grievance to the NPS Trust in accordance with the provisions of PFRDA’s Redressal of Subscriber Grievance Regulations, 2015'. The Ombudsman is a further escalation from the NPS Trust

Question 25

A person aggrieved by an order of the IRDAI wishes to file an appeal with the Securities Appellate Tribunal (SAT). According to the SEBI Act, what is the maximum period within which this appeal must be filed from the date of receiving a copy of the order?

Accepted Answer

45 days. Section 15T of the SEBI Act states: 'Every appeal should be filed within a period of 45 days from the date on which a copy of the order made by SEBI or the Adjudicating Officer or IRDAI or the PFRDA is received by him'

Question 26

Which of the following types of complaints is explicitly stated as NOT being addressed by SCORES?

Accepted Answer

Allegations without supporting documents.. The text lists under 'The following complaints are not addressed in SCORES:' — 'Allegations without supporting documents'. Options A, C, and D are generally covered by SCORES

Question 27

According to the PFRDA's Redressal of Subscriber Grievance Regulations, 2015, what is the correct escalation path and associated timeline for an NPS subscriber's grievance if it remains unresolved?

Accepted Answer

Intermediary (30 days) → NPS Trust (30 days) → Ombudsman. The text outlines the escalation as follows: 'Any subscriber whose grievance has not been resolved within thirty days from the date of receipt of the grievance by any intermediary... shall register a grievance with the NPS Trust.' Subsequently, 'The NPS Trust shall... respond to the subscriber within thirty days from the date of receipt of the grievance.' Finally, if not resolved by NPS Trust within 30 days (after submission to NPS Trust), the subscriber 'shall prefer an appeal to the Ombudsman'. This means the sequence is Intermediary (30 days) → NPS Trust (30 days) → Ombudsman

Question 28

Which of the following is a valid ground for making a complaint to the Insurance Ombudsman?

Accepted Answer

Disputes about the legal construction of policies as far as it relates to claims.. The text lists 'Any dispute on the legal construction of the policies as far as it relates to claims' as a ground for complaint to the Insurance Ombudsman. Options A and D are generally excluded from grievance mechanisms, and option C is not a matter for the Insurance Ombudsman

Question 29

Under the Integrated Ombudsman Scheme, if a customer is not satisfied with the resolution provided by their bank, when can they approach the Banking Ombudsman?

Accepted Answer

After one month, if they have not received a satisfactory resolution from the concerned bank after directly addressing it.. As per the text, an individual can approach the Banking Ombudsman if their grievance has been directly addressed to the concerned bank, but they have not received a satisfactory resolution within one month

Question 30

If a subscriber's grievance with the Central Recordkeeping Agency (CRA) for NPS has not been resolved within thirty days or if they are not satisfied with the resolution, to whom should they escalate the grievance next?

Accepted Answer

The NPS Trust.. The text states: 'Any subscriber whose grievance has not been resolved within thirty days from the date of receipt of the grievance by any intermediary, or who is not satisfied with the resolution provided by the intermediary under the National Pension System (other than NPS Trust) shall register a grievance with the NPS Trust, against the intermediary.'

Question 31

A subscriber to the National Pension System (NPS) has filed a grievance with the Central Recordkeeping Agency (CRA) but is not satisfied with the resolution after 30 days. What is the next step in the grievance escalation process according to PFRDA regulations?

Accepted Answer

Register a grievance with the NPS Trust.. The text states: '(1) Any subscriber whose grievance has not been resolved within thirty days from the date of receipt of the grievance by any intermediary... shall register a grievance with the NPS Trust, against the intermediary.'

Question 32

If an NPS subscriber's grievance has not been resolved by the Central Recordkeeping Agency (CRA) within thirty days of filing, or if they are not satisfied with the resolution, to which entity should they escalate their grievance next?

Accepted Answer

The NPS Trust.. The text states: 'If the complainant is not satisfied with the redressal of his grievances or if it has not been resolved by CRA by the end of thirty days of the filing of the complaint, s/he may escalate the grievance to the NPS Trust'

Question 33

While discharging its functions, the Securities Appellate Tribunal (SAT) has the same powers as a civil court in respect of certain matters. Which of the following is NOT listed as one of these powers?

Accepted Answer

Regulating the procedures laid down by the Code of Civil Procedure.. The text states that SAT 'is not bound by the procedure laid down by the Code of Civil Procedure, but shall be guided by the principles of natural justice and shall have the powers to regulate their own procedures.' It does not have the power to regulate the Code of Civil Procedure itself

Question 34

Which of the following is a valid ground for making a complaint to the Insurance Ombudsman?

Accepted Answer

Any dispute about premium paid or payable in terms of the policy.. The text lists 'Any dispute about premium paid or payable in terms of the policy' as one of the grounds under which a complaint can be made to the Insurance Ombudsman

Question 35

Which of the following complaints is NOT addressed by SEBI's SCORES platform?

Accepted Answer

Complaints that are incomplete or not specific. The text explicitly states under 'The following complaints are not addressed in SCORES:' that 'Complaints that are incomplete or not specific' are excluded. Options A, C, and D are examples of entities against which SCORES can be used

Question 36

A person aggrieved by an order made by the Pension Fund Regulatory and Development Authority (PFRDA) wishes to file an appeal with the Securities Appellate Tribunal (SAT). Within what period, from the date of receiving a copy of the order, must this appeal be filed?

Accepted Answer

45 days. Section 15T of the SEBI Act, as referenced in the text, states: 'Every appeal should be filed within a period of 45 days from the date on which a copy of the order made by SEBI or the Adjudicating Officer or IRDAI or the PFRDA is received by him'

Question 37

The dispute resolution through the ODR portal can be initiated within the applicable law of limitation, reckoned from which of the following?

Accepted Answer

The date when the issue arose/occurred, the date of the last transaction, or the date of disputed transaction, whichever is later.. The text states: 'The dispute resolution through the ODR portal can be initiated within the applicable law of limitation (reckoned from the date when the issue arose/occurred that has resulted in the complaint/date of the last transaction or the date of disputed transaction, whichever is later).'

Question 38

A complaint relating to the non-repayment of deposits or payment of interest by an NBFC should be registered with which of the following fora?

Accepted Answer

National Company Law Tribunal (NCLT) or the Consumer forum. A complaint relating to the non-repayment of deposits or payment of interest by an NBFC should be registered with the National Company Law Tribunal (NCLT) or the Consumer forum

Question 39

What is the primary purpose of SCORES?

Accepted Answer

To deal with investor complaints related to products and entities regulated by SEBI.. SCORES is the online investor redressal mechanism set up by SEBI to deal with the complaints of investors related to all products and entities regulated by it

Question 40

Which of the following would be considered a 'grievance or complaint' that PFRDA's National Pension System (NPS) redressal mechanism is designed to address?

Accepted Answer

Dissatisfaction about an act of omission or deficiency of service by an NPS intermediary.. The text defines 'Grievances or complaint' for NPS as 'any communication that expresses dissatisfaction, in respect of the conduct or any act of omission or commission or deficiency of service on the part of, an intermediary or an entity or a person... and in the nature of seeking a remedial action'. Options A, B, and C are explicitly listed as exclusions from the definition of a grievance for NPS

Question 41

Which of the following types of complaints is NOT addressed in SCORES?

Accepted Answer

Allegations without supporting documents.. The text explicitly lists: 'The following complaints are not addressed in SCORES: ... Allegations without supporting documents.' Options B, C, and D fall under the purview of SCORES as they relate to regulated entities and products

Question 42

Which of the following is NOT a valid ground for making a complaint to an Insurance Ombudsman?

Accepted Answer

Seeking explanation for non-trading of shares.. The text lists valid grounds for complaint to an Insurance Ombudsman, which include disputes about premium, delay in settlement, and repudiation of claims. Seeking explanation for non-trading of shares is listed as a complaint type NOT addressed by SCORES, not a ground for the Insurance Ombudsman

Question 43

The Banking Ombudsman, who addresses complaints of banking customers, is appointed by which authority?

Accepted Answer

Reserve Bank of India (RBI). The text states, 'The Banking Ombudsman is a person appointed by the RBI to address the complaints of banking customers related to the services offered by banks.'

Question 44

What is the primary purpose of SCORES as an online investor redressal mechanism?

Accepted Answer

To deal with investor complaints related to all products and entities regulated by SEBI.. SCORES is explicitly defined as the online investor redressal mechanism set up by SEBI to deal with the complaints of investors related to all products and entities regulated by it

Question 45

What is the primary function of SCORES as an investor redressal mechanism?

Accepted Answer

To provide an online platform for investor complaints related to products and entities regulated by SEBI.. SCORES is explicitly defined as 'the online investor redressal mechanism set up by SEBI to deal with the complaints of investors related to all products and entities regulate by it.' Options A, C, and D describe functions outside the scope or primary purpose of SCORES as stated in the text

Question 46

Which of the following is NOT a valid ground for making a complaint to an Insurance Ombudsman, according to the Redressal of Public Grievance Rules, 1998?

Accepted Answer

Seeking explanation for non-listing of shares of a private offer by an insurance company.. The text lists specific grounds for complaint to the Insurance Ombudsman, which include repudiation of claims, premium disputes, legal construction of policies related to claims, delay in settlement, and non-issue of documents. Seeking explanation for non-listing of shares of a private offer is not mentioned as a ground for the Insurance Ombudsman and is an exclusion for SCORES

Question 47

Which of the following complaints is NOT addressed in SCORES?

Accepted Answer

Allegations without supporting documents.. The text explicitly states that 'Allegations without supporting documents' are not addressed in SCORES. Complaints against mutual funds, brokers, and related to primary market share issues are covered

Question 48

To which higher authority can a person aggrieved by a decision or order of the Securities Appellate Tribunal (SAT) file an appeal?

Accepted Answer

The Supreme Court.. The text states: 'Any person aggrieved by any decision or order of the Securities Appellate Tribunal may file an appeal to the Supreme Court within 60 days from the date of communication of the decisions or order of the SAT to him.'

Question 49

What is the primary purpose of SCORES, as established by SEBI?

Accepted Answer

To act as an online investor redressal mechanism for complaints related to SEBI-regulated products and entities.. The text states: 'SCORES is the online investor redressal mechanism set up by SEBI to deal with the complaints of investors related to all products and entities regulate by it.'

Question 50

Which of the following types of complaints is generally addressed by the SEBI SCORES online investor redressal mechanism?

Accepted Answer

Complaints against mutual funds for service deficiencies.. The text states that SCORES deals with complaints related to 'all products and entities regulate by it,' including 'investment companies such as mutual funds'. Options A, B, and D are explicitly listed as complaints not addressed by SCORES or SEBI

Ch.20: Grievance Redress Mechanism

What You Will Learn in This Chapter

Multiple Choice Questions (125)

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