Correct Answer: (2) Banking Regulation Act, 1949
Solution:As per RBI guidelines, a scheduled commercial bank can own a stake in a payments bank to the extent permitted under Section 19 (2) of the Banking Regulation Act, 1949, which states that no banking company shall hold shares in any company of an amount exceeding 30% of the paid-up share capital of that company or 30% of its own paid-up share capital and reserves, whichever is less.