(1) [The Sponsor Bank] shall appoint an individual to be the Chairman of a Regional Rural Bank and specify the period, not exceeding five years, for which such individual shall, subject to the provisions of sub-section (4), hold office as the Chairman:
[Provided that no appointment of such an individual shall be made,--
(a) if such an individual is an officer of the Sponsor Bank, except after consultation with the National Bank;
(b) in any other case, except with the prior approval of the Central Government.]
[(1A) Notwithstanding anything contained in sub-section (1),--
(a) the Sponsor Bank shall have the right to terminate the term of office of the Chairman at any time before the expiry of the period specified in sub-section (1):
Provided that no such termination shall be made,--
(a) if the Chairman is an officer of the Sponsor Bank, except after consultation with the National Bank; and
(b) in any other case, except with the prior approval of the Central Government:
Provided further that where the Chairman is not an officer of the Central Government, State Government, Reserve Bank, National Bank, Sponsor Bank or any other bank, he shall be given notice of not less than three months in writing or three months' salary and allowances in lieu of such notice; and
(b) the Chairman shall have the right to resign his office at any time before the expiry of the period specified in sub-section (1) by giving to the Sponsor Bank, notice of not less than three months in writing.]
(2) The individual, appointed as a Chairman under sub-section (1), shall, on the expiry of the period specified under that sub-section, be eligible for re-appointment.
(3) The Chairman shall devote his whole time to the affairs of the Regional Rural Bank and shall have, subject to the superintendence, control and direction of the Board, the management of the whole of the affairs of the Regional Rural Bank.
[(4) [The Sponsor Bank] may, at any time, remove the Chairman from office:
[Provided that no such removal shall be made,--
(a) if the Chairman is an officer of the Sponsor Bank, except after consultation with the National Bank; and
(b) in any other case, except with the prior approval of the Central Government:
Provided further that] no person shall be removed from his office, under this sub-section, unless he has been given an opportunity of showing cause against his removal.]
(5) The Chairman shall receive such salary and allowances and be governed by such terms and conditions of service as may be determined by the [the Sponsor Bank in consultation with the National Bank].
(6) If the Chairman is, by infirmity or otherwise, rendered incapable of carrying out his duties or is absent, on leave or otherwise, in circumstances not involving the vacation of office, the Central Government may appoint another individual to act as the Chairman during the absence of the first-mentioned Chairman