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      Question

      The "Fit and Proper" criteria assessment does NOT

      include:
      A Educational qualifications Correct Answer Incorrect Answer
      B Political affiliation Correct Answer Incorrect Answer
      C Criminal record Correct Answer Incorrect Answer
      D Net worth of the individual Correct Answer Incorrect Answer
      E Professional experience Correct Answer Incorrect Answer

      Solution

      While integrity and expertise are checked, personal net worth is not a standard 'Fit and Proper' criterion for directorship. As per RBI guidelines, the "Fit and Proper" criteria assessment for directors and key personnel includes a mandatory evaluation of educational qualifications, experience, track record, and integrity. This continuous assessment involves a boardapproved policy, a formal declaration/undertaking by the appointee and a signed Deed of Covenant to ensure sound corporate governance.

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