Directions: The question given below consists of a passage, followed by three arguments I, II and III. You have to decide which of the arguments is/are 'strong' arguments and which of the arguments are 'weak' arguments and accordingly choose your answer from the alternatives given below each question.Passage: The Union Cabinet has cleared the proposal to suspend Insolvency and Bankruptcy Code (IBC) proceedings for bank defaulters for six months with a provision to extend the period for up to one year. This will be applicable for NPAs (non-performing assets) after March 25, 2020. Along with that, there is an exclusion of COVID-19 related debt/defaults from the definition of default under IBC.Is this a good step from the Government?Arguments:I. Yes. The move will offer relief to a lot of companies affected by the COVID-19 crisis.II. No. This will encourage borrowers to default on their debt obligations and create a bad credit culture in society.III. No. This will adversely affect loan recoveries of Banks and increase stress on the Banking system.

Directions: The question given below consists of a passage, followed b

1.	Directions: The question given below consists of a passage, followed by three arguments I, II and III. You have to decide which of the arguments is/are 'strong' arguments and which of the arguments are 'weak' arguments and accordingly choose your answer from the alternatives given below each question.Passage: The Union Cabinet has cleared the proposal to suspend Insolvency and Bankruptcy Code (IBC) proceedings for bank defaulters for six months with a provision to extend the period for up to one year. This will be applicable for NPAs (non-performing assets) after March 25, 2020. Along with that, there is an exclusion of COVID-19 related debt/defaults from the definition of default under IBC.Is this a good step from the Government?Arguments:I. Yes. The move will offer relief to a lot of companies affected by the COVID-19 crisis.II. No. This will encourage borrowers to default on their debt obligations and create a bad credit culture in society.III. No. This will adversely affect loan recoveries of Banks and increase stress on the Banking system.
A.	Only I and II are strong
B.	Only I and III are strong
C.	Only II and III are strong
D.	Only I is strong
E.	All the arguments are strong
Answer» C. Only II and III are strong

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