Banking Regulation Act, 1949

The Banking Regulation Act, 1949

बैंककारी विनियमन अधिनियम, 1949

Rules Regulations Notifications Orders Circulars Ordinance Statutes

Act ID:	194910
Act Number:	10
Enactment Date:	1949-03-10
Act Year:	1949
Short Title:	The Banking Regulation Act, 1949
Hindi Title:	बैंककारी विनियमन अधिनियम, 1949
Long Title:	An Act to consolidate and amend the law relating to banking.
Ministry:	Ministry of Finance
Department:	Department of Financial Services
Enforcement Date:	16-03-1949
Notification:	16th March, 1949, see Notification No. F. 4 (46)-FI/49, dated the 10th March, 1949, Gazette of India, 1949, Part I.


Schedule 1. THE FIRST SCHEDULE. Order Appendix Forms
Schedule 2. THE SECOND SCHEDULE. Order Appendix Forms
Schedule 3. THE THIRD SCHEDULE. Order Appendix Forms
Schedule 4. THE FOURTH SCHEDULE. Order Appendix Forms
Schedule 5. THE FIFTH SCHEDULE. Order Appendix Forms

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Show all section The Banking Regulation Act, 1949

PART I

PRELIMINARY

PART II

BUSINESS OF BANKING COMPANIES

PART IIA

CONTROL OVER MANAGEMENT

PART IIAB

SUPERSESSION OF BOARD OF DIRECTORS OF BANKING COMPANY

PART IIB

PROHIBITION OF CERTAIN ACTIVITIES IN RELATION TO BANKING COMPANIES

PART IIC

ACQUISITION OF THE UNDERTAKINGS OF BANKING COMPANIES IN CERTAIN CASES

PART III

SUSPENSION OF BUSINESS AND WINDING UP OF BANKING COMPANIES

PART IIIA

SPECIAL PROVISIONS FOR SPEEDY DISPOSAL OF WINDING UP PROCEEDINGS

PART IIIB

PROVISIONS RELATING TO CERTAIN OPERATIONS OF BANKING COMPANIES

PART IV

MISCELLANEOUS

PART V

APPLICATION OF THE ACT TO CO-OPERATIVE BANKS


Section 1. Short title, extent and commencement.
Section 2. Application of other laws not barred.
Section 3. Act not to apply to certain co-operative societies.
Section 4. Power to suspend operation of Act.
Section 5. Interpretation.
Section 5A. Act to override memorandum, articles, etc.
Section 6. Form of business in which banking companies may engage.
Section 7. Use of words "bank", "banker", "banking" or "banking company".
Section 8. Prohibition of trading.
Section 9. Disposal of non-banking assets.
Section 10. Prohibition of employment of managing agents and restrictions on certain forms of employment. Show Related Subordinates
Section 10A. Board of directors to include persons with professional or other experience.
Section 10B. Banking company to be managed by whole time chairman.
Section 10BB. Power of Reserve Bank to appoint chairman of the Board of directors appointed on a whole-time basis or a managing director of a banking company.
Section 10C. Chairman and certain directors not to be required to hold qualification shares.
Section 10D. Provisions of sections 10A and 10B to override all other laws, contracts, etc.
Section 11. Requirement as to minimum paid-up capital and reserves.
Section 12. Regulation of paid-up capital, subscribed capital and authorised capital and voting rights of shareholders.
Section 12A. Election of new directors.
Section 12B. Regulation of acquisition of shares or voting rights.
Section 13. Restriction on commission, brokerage, discount, etc., on sale of shares.
Section 14. Prohibition of charge on unpaid capital.
Section 14A. Prohibition of floating charge on assets.
Section 15. Restrictions as to payment of dividend.
Section 16. Prohibition of common directors.
Section 17. Reserve Fund.
Section 18. Cash reserve.
Section 19. Restriction on nature of subsidiary companies.
Section 20. Restrictions on loans and advances.
Section 20A. Restrictions on power to remit debts.
Section 21. Power of Reserve Bank to control advances by banking companies.
Section 21A. Rates of interest charged by banking companies not to be subject to scrutiny by courts.
Section 22. Licensing of banking companies.
Section 23. Restrictions on opening of new, and transfer of existing, places of business.
Section 24. Maintenance of a percentage of assets.
Section 25. Assets in India.
Section 26. Return of unclaimed deposits.
Section 26A. Establishment of Depositor Education and Awareness Fund.
Section 27. Monthly returns and power to call for other returns and information.
Section 28. Power to publish information.
Section 29. Accounts and balance-sheet.
Section 29A. Power in respect of associate enterprises.
Section 30. Audit.
Section 31. Submission of returns.
Section 32. Copies of balance-sheets and accounts to be sent to registrar.
Section 33. Display of audited balance-sheet by companies incorporated outside India.
Section 34. Accounting provision of this Act not retrospective.
Section 34A. Production of documents of confidential nature.
Section 35. Inspection.
Section 35A. Power of the Reserve Bank to give directions. Show Related Subordinates
Section 35AA. Power of the Central Government to authorize Reserve Bank for issuing directions to banking companies to initiate insolvency resolution process.
Section 35AB. Power of Reserve Bank to issue directions in respect of stressed assets.
Section 35B. Amendments of provisions relating to appointments of managing directors, etc., to be subject to previous approval of the Reserve Bank.
Section 36. Further powers and functions of Reserve Bank.
Section 36A. Certain provisions of the Act not to apply to certain banking companies.
Section 36AA. Power of Reserve Bank to remove managerial and other persons from office.
Section 36AB. Power of Reserve Bank to appoint additional directors.
Section 36AC. Part IIA to override other laws.
Section 36ACA. Supersession of Board of Directors in certain cases.
Section 36AD. Punishments for certain activities in relation to banking companies.
Section 36AE. Power of Central Government to acquire undertakings of banking companies in certain cases.
Section 36AF. Power of the Central Government to make scheme.
Section 36AG. Compensation to be given to shareholders of the acquired bank.
Section 36AH. Constitution of the Tribunal.
Section 36AI. Tribunal to have powers of a civil court.
Section 36AJ. Procedure of the Tribunal.
Section 36B. High Court defined.
Section 37. Suspension of business.
Section 38. Winding up by High Court.
Section 38A. Court liquidator.
Section 39. Reserve Bank to be official liquidator.
Section 39A. Application of Companies Act to liquidators.
Section 40. Stay of proceedings.
Section 41. Preliminary report by official liquidator.
Section 41A. Notice to preferential claimants and secured and unsecured creditors.
Section 42. Power to dispense with meetings of creditors, etc.
Section 43. Booked depositors' credits to be deemed proved.
Section 43A. Preferential payments to depositors.
Section 44. Powers of High Court in voluntary winding up.
Section 44A. Procedure for amalgamation of banking companies.
Section 44B. Restriction on compromise or arrangement between banking company and creditors.
Section 45. Power of Reserve Bank to apply to Central Government for suspension of business by a banking company and to prepare scheme of reconstitution or amalgamation.
Section 45A. Part IIIA to override other laws.
Section 45B. Power of High Court to decide all claims in respect of banking companies.
Section 45C. Transfer of pending proceedings.
Section 45D. Settlement of list of debtors.
Section 45E. Special provisions to make calls on contributories.
Section 45F. Documents of banking company to be evidence.
Section 45G. Public examination of directors and auditors.
Section 45H. Special provisions for assessing damages against delinquent directors, etc
Section 45-I. Duty of directors and officers of banking company to assist in the realisation of property.
Section 45J. Special provisions for punishing offences in relation to banking companies being wound up.
Section 45K. Omitted.
Section 45L. Public examination of directors and auditors, etc., in respect of a banking company under schemes of arrangement
Section 45M. Special provisions for banking companies working under schemes of arrangement at the commencement of the Amendment Act.
Section 45N. Appeals.
Section 45-O. Special period of limitation
Section 45P. Reserve Bank to tender advice in winding up proceedings
Section 45Q. Power to Inspect
Section 45R. Power to call for returns and information
Section 45S. Chief Presidency Magistrate and District Magistrate to assist official liquidator in taking charge of property of banking company being wound up.
Section 45T. Enforcement of orders and decisions of High Court.
Section 45U. Power of High Court to make rules.
Section 45V. References to directors, etc., shall be construed as including references to past directors, etc.
Section 45W. Part II not to apply to banking companies being wound up
Section 45X. Validation of certain proceedings.
Section 45Y. Power of Central Government to make rules for the preservation of records. Show Related Subordinates
Section 45Z. Return of paid instruments to customers.
Section 45ZA. Nomination for payment of depositors' money. Show Related Subordinates
Section 45ZB. Notice of claims of other persons regarding deposits not receivable.
Section 45ZC. Nomination for return of articles kept in safe custody with banking company. Show Related Subordinates
Section 45ZD. Notice of claims of other persons regarding articles not receivable.
Section 45ZE. Release of contents of safety lockers. Show Related Subordinates
Section 45ZF. Notice of claims of other persons regarding safety lockers not receivable.
Section 46. Penalties
Section 46A. Chairman, director, etc., to be public servants for the purposes of Chapter IX of the Indian Penal Code.
Section 47. Cognizance of offences.
Section 47A. Power of Reserve Bank to impose penalty
Section 48. Application of fines.
Section 49. Special provisions for private banking companies.
Section 49A. Restriction on acceptance of deposits withdrawable by cheque.
Section 49B. Change of name by a banking company.
Section 49C. Alteration of memorandum of a banking company.
Section 50. Certain claims for compensation barred
Section 51. Application of certain provisions to the State Bank of India and other notified banks.
Section 51A. Powers of Reserve Bank not to apply to International Financial Services Centre.
Section 52. Power of Central Government to make rules. Show Related Subordinates
Section 53. Power to exempt in certain cases. Show Related Subordinates
Section 54. Protection of action taken under Act.
Section 55. Amendment of Act 2 of 1934.
Section 55A. Power to remove difficulties
Section 56. Act to apply to co-operative societies subject to modifications.


Schedule 1. THE FIRST SCHEDULE. Order Appendix Forms
Schedule 2. THE SECOND SCHEDULE. Order Appendix Forms
Schedule 3. THE THIRD SCHEDULE. Order Appendix Forms
Schedule 4. THE FOURTH SCHEDULE. Order Appendix Forms
Schedule 5. THE FIFTH SCHEDULE. Order Appendix Forms

Year	Description	Hindi Description	Files(Eng)	Files(Hindi)
26-03-1949	Banking Regulation (Companies) Rules 1949
29-03-1985	Banking Companies (Period of Preservation of Records Rules)1985
29-03-1985	Banking Companies Nomination Rules, 1985

Year	Description	Hindi Description	Files(Eng)	Files(Hindi)
26-12-2005	Banking Ombudsman Scheme 2006
02-02-2016	Nomination of Shri P.S. Jayakumar, MD & CEO, Bank of Baroda on the Boards of India Bank Malaysia Berhard and Ms IndiaFirst Life Insurance Company Limited as Director, exemptin
28-02-2018	Nomination of Shri Mukesh Kumar Ja, MD & CEO, OBC on the Board of Canara HSBC OBC Life Insurance Company Ltd. as Director, exempting the applicability
22-11-2018	Nomination of Shri Raj Kiran Rai G., MD & CEO, Union Bank of India on the Board of Star Union Dai-Ichi Life Insurance Company Limited as Director, exempting the applicability

Schedule 1. THE FIRST SCHEDULE.

Schedule 2. THE SECOND SCHEDULE.

Schedule 3. THE THIRD SCHEDULE.

Schedule 4. THE FOURTH SCHEDULE.

Schedule 5. THE FIFTH SCHEDULE.