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Statement A large private bank has decided to retrench one-third of its employees in view of the huge losses incurred it during the past three quarters. Courses of Action I. The Government should issue a notification to general public to immediately stop all transactions with the bank. II. The Government should direct the bank to refrain from retrenching its employees. III. The Government should ask the central bank of the country to initiate an inquiry into the bank's activities and submit its report.

None follows
Only I foloows
Only II follows
Only III follows

Correct Answer: Only III follows

Explanation:

Courses of action I would be a extreme step. Courses of action II is not within the Government's preview. Courses of action III is advisable when there is retrenchment on such a large scale.

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