Hawala transactions relate to payments:
✓ Correct answer: a) received in rupees against overseas currencies and vice versa without going through the official channels
ExplanationHawala transactions refer to an informal and unof- ficial system of transferring money across borders without using formal bank-ing channels or regulatory oversight.It involves a network of brokers (hawaladars) who facilitate the transfer of money between individuals or entities in dif- ferent countries.For example, if Person A in Country X wants to send money to Person B in Country Y, they give the money to a ha- waladar in Country X. The hawaladar then instructs their coun- terpart in Country Y to deliver the equivalent amount to Person B. No physical movement of money occurs across borders, and the transaction is based on trust and informal records.Options (b), (c) and (d) are incorrect :Unauthorized stock transfers without using stock exchanges fall under insider trading or securities fraud and not Hawala.Received as commission for services rendered to overseas investors/buyers/sellers in assisting them to get over the red tape and/or in getting preferential treatment” refers to bribery or facilitation payments to bypass bureaucratic hurdles, which is a corruption issue.
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