1. a) On March 5, 2020, Indian authorities seized control of the country's fourth largest lender, Yes Bank. According to the Financial Times, "Yes Bank had struggled for months to raise capital to shore up its balancesheet," which had been negatively affected by severe problems at a number of companies Yes Bank had lentmoney to. Upon taking control of the Bank, the first act of the authorities has been to restrict withdrawals from depositors. From this information, what is your understanding of the risks to solvency and liquidity faced by Yes Bankwhich triggered the authorities' actions? Be explicit about which pieces of information you are using for your argument.

1. b) The same Financial Times article includes thequote "You cannot let a bank like Yes Bank go down." Whatproblem in financial regulation is the commentator implicitly referring to? (A four-word answer is sufficient for full marks).