Which of the following institutions in India is legally mandated to operate and maintain the Central Fraud Registry for reporting and monitoring banking frauds across scheduled commercial banks?

💡 Solution & Explanation

The Reserve Bank of India operates and maintains the Central Fraud Registry as a secure, searchable database enabling scheduled commercial banks to report and track fraudulent borrower accounts and suspicious transactions. This centralized repository helps banking institutions perform rigorous due diligence during credit appraisal to prevent serial defaulters from obtaining multiple loans. Early detection mechanisms through the registry reinforce institutional governance and risk management across the Indian banking sector.