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3 Aug 2026POLITY3 questions

From Ledgers to the Cloud: Replacing an 1891 Evidence Law Written for Handwritten Books

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Article summary

The Bankers' Books Evidence Bill, 2026 was introduced in the Lok Sabha on 3 August 2026 by Finance Minister Nirmala Sitharaman, to replace the Bankers' Books Evidence Act, 1891, which has governed the production of banking records in Indian courts for over 135 years. The Bill widens the definition of bankers' books to cover all records maintained by a bank, whether physical, digital, electronic, cloud-based or in any other form, and recasts the framework so that access to banking evidence is preserved while banks are protected from being drawn into proceedings merely as record-keepers. The stated approach is better-targeted judicial oversight rather than unrestricted access. The same sitting saw the Indian Statistical Institute Bill, 2026 introduced by the Minister of State for Statistics and Programme Implementation. Both belong to a wider programme of replacing colonial-era statutes with contemporary law.

What this tests

recallTests whether you read the article and retained key facts.
1Q
applicationTests whether you can apply the concept to a new scenario.
1Q
analysisTests whether you can reason across multiple related facts.
1Q

Sample questions — answers revealed after test

POLITYRecallEasy

Q1. Which statute replaced the Indian Evidence Act, 1872 as India's general law of evidence?

AThe Bharatiya Nyaya Sanhita, 2023
BThe Bharatiya Nagarik Suraksha Sanhita, 2023
CThe Bharatiya Sakshya Adhiniyam, 2023
DThe Information Technology Act, 2000
Answer revealed after you submit the test
POLITYApplicationMedium

Q2. The Bankers' Books Evidence Act, 1891 was significant in the law of evidence because it:

AMade banking transactions confidential and inadmissible in court
BCreated an exception to the best evidence rule, allowing certified copies of bank entries as prima facie evidence without producing the original books
CRequired banks to deposit their ledgers with the court annually
DTransferred banking disputes to specialised tribunals
Answer revealed after you submit the test
POLITYAnalysisHard

Q3. Consider the following statements about the Bankers' Books Evidence Bill, 2026: 1. It widens the definition of bankers' books to cover records in physical, digital, electronic and cloud-based form. 2. Authenticating a digital record shifts the enquiry from comparing a copy against an original to establishing the reliability of the system that generated it. 3. Because banking records concern the account holder alone, compelled disclosure raises no privacy interest for third parties. Which of the statements given above are correct?

A1 and 2 only
B1 only
C2 and 3 only
D1, 2 and 3
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