Pecuniary liability means:

• A. You are responsible for erroneous payments made as a result of your signature.
• B. You are responsible for all criminal liabilities.
• C. Pecuniary liability applies only to civil suits.
• D. Pecuniary liability is limited to mismanagement of funds.

Answer: (C)

Pecuniary liability is a financial obligation to compensate or repay losses caused by improper official action, and it is pursued through civil processes rather than in criminal courts. This means the remedy is monetary—monetary recovery or restitution—handled in civil or administrative proceedings, not via criminal prosecution and punishment.

That’s why the statement that pecuniary liability applies only to civil suits is the best fit: it highlights the civil, monetary nature of this liability. The other ideas either push toward criminal consequences or wrongly limit the scope to specific situations like signature-related payments or general mismanagement; pecuniary liability isn’t about criminal charges and isn’t confined to mismanagement, though it can arise from improper acts that cause financial loss.