TABLE OF CONTENTS REGULATION AND SUPERVISION OF BANKS IN THE CONTEXT OF INDIAN BANKING SYSTEM - AN ANALYSIS; A. INTRODUCTION; B. FRAME W0RK; C. PROBLEM DEFINITION ; CHAPTER 1 MODELS IN REGULATION AND SUPERVISION; 1.1 Why Regulate Financial services?; 1.2 Models of regulation or supervision ; 1.3 Meaning of Regulation and Supervision; 1.4 Distinction between Regulation and Supervision; 1.5 Objectives of regulation and supervision; 1.7 Need for Supervision; CHAPTER 2 APPROACHES TO REGULATION AND SUPREVISION OF BANKS; 2.1 Approaches to regulate and supervise banks; 2.2 Regulatory and Supervisory approaches; CHAPTER 3 ROLE OF CENTRAL BANK IN REGULATION AND SUPERVISION; 3.1 Role of the Central Bank; 3.2 Models on banking supervision; 3.3 Arguments for the Central Bank Model; 3.4 Arguments against the Central Bank Model; 3.5 Conflict of interest between the different roles of the regulators; 3.6 Case for a mega regulator; 3.7 Case against a 'mega regulator’; CHAPTER 4 REGULATION AND SUPERVISION OF BANKS IN INDIA; 4.1 Banking System in India; 4.2 Objectives of Regulation and Supervision in India; 4.3 Regulatory and Supervisory Powers; i. Regulatory Powers of RBI; 4.3.1 Licensing; 4.3.2 Capital Requirement; 4.3.3 Shareholding and Voting Rights; 4.3.4 Reserve Requirements; 4.3.5 Permissible Activities; 4.3.6 Prudential Norms; 4.3.7 Loans & Advances; 4.3.8 Connected lending; 4.3.9 Management; ii. Supervisory powers of RBI; 4.3.10 Information & Audit; 4.3.11 Inspection; 4.4 Co-operative Banks; 4.4.1 Background; 4.4.2 First Phase of the development of the UCBs; 4.5 Regulatory functions exercised by RBI over Urban Co-operative Banks; 4.5.1 Licence; 4.5.2 Capital Requirements; 4.5.3 Restriction on holding shares in other cooperative societies; 4.5.4 Reserve Requirements; 4.5.5 Loans and advances; 4.5.6 Prudential Norms; 4.5.7 Issue of Direction; 4.6 Supervisory Functions exercised by the RBI; 4.6.1 Inspection; 4.6.2 Authority to caution banks; 4.6.3 Appointment of Observer; 4.6.4 Power to call for Information; 4.6.5 Audit; 4.7 Dual Control: An area of tension between RBI and State Government; 4.8 Deposit Insurance; CHAPTER 5 REGULATION AND SUPERVISION OF BANKS IN OTHER COUNTRIES; 5.1' FRANCE; 5.2 Germany; 5.3 USA ; 5.4 ISRAEL; 5.5 ENGLAND; 5.6 SINGAPORE; CHAPTER 6 COMMITTES REVIEWING REGULATION AND SUPERVISION OF BANKS; 6.1 BASLE COMMITTEE CORE PRINCIPLES; 6.2 Report of the Narasimham Committee on Banking Sector Reforms; CHAPTER 7 CONCLUSIONS;BIBLIOGRAPHY; ANNEXURE I; Supervision and Surveillance Across Central Banks Annexure II; BANKING REGULATION ACT, 1949.