The Banking Regulation Act, 1949

Central Act · Act 10 of 1949132 provisions49 citing judgments

The enactment

Full text, provision by provision

Every provision below opens in full, free and without an account.

• 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.2 citing judgments
• Section 5A Act to override memorandum, articles, etc.
• Section 6 Form of business in which banking companies may engage.1 citing judgment
• Section 7 Use of words "bank", "banker", "banking" or "banking company".
• Section 8 Prohibition of trading.
• Section 9 Disposal of non-banking assets.3 citing judgments
• Section 10 Prohibition of employment of managing agents and restrictions on certain forms of employment.1 citing judgment
• 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.1 citing judgment
• 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.3 citing judgments
• Section 14 Prohibition of charge on unpaid capital.1 citing judgment
• 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.5 citing judgments
• Section 21A Rates of interest charged by banking companies not to be subject to scrutiny by courts.
• Section 22 Licensing of banking companies.1 citing judgment
• 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.2 citing judgments
• 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.1 citing judgment
• Section 35A Power of the Reserve Bank to give directions.7 citing judgments
• Section 35AA Power of the Central Government to authorize Reserve Bank for issuing directions to banking companies to initiate insolvency resolution process.4 citing judgments
• Section 35AB Power of Reserve Bank to issue directions in respect of stressed assets.1 citing judgment
• 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.1 citing judgment
• 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.1 citing judgment
• Section 36AB Power of Reserve Bank to appoint additional directors.
• Section 36AC Part IIA to override other laws.1 citing judgment
• 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.1 citing judgment
• Section 36AF Power of the Central Government to make scheme.1 citing judgment
• 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.2 citing judgments
• Section 45-I Duty of directors and officers of banking company to assist in the realisation of property.
• Section 45-O Special period of limitation
• Section 45A Part IIIA to override other laws.1 citing judgment
• 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 45J Special provisions for punishing offences in relation to banking companies being wound up.
• 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 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.1 citing judgment
• 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.
• Section 45Z Return of paid instruments to customers.
• Section 45ZA Nomination for payment of depositors' money.1 citing judgment
• 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.
• Section 45ZD Notice of claims of other persons regarding articles not receivable.
• Section 45ZE Release of contents of safety lockers.
• Section 45ZF Notice of claims of other persons regarding safety lockers not receivable.
• Section 45ZG Priority of successive nominations.
• Section 46 Penalties1 citing judgment
• Section 46A Chairman, director, etc., to be public servants for the purposes of Chapter IX of the Indian Penal Code.2 citing judgments
• Section 47 Cognizance of offences.1 citing judgment
• 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.1 citing judgment
• Section 51A Powers of Reserve Bank not to apply to International Financial Services Centre.
• Section 52 Power of Central Government to make rules.
• Section 53 Power to exempt in certain cases.1 citing judgment
• 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.