(1) The Central Government may, after consultation with the Reserve Bank and the Sponsor Bank, by notification in the Official Gazette, make rules for carrying out the provisions of this Ordinance.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely: —
(a) the time and place at which the Board of directors of a Regional Rural Bank shall meet and the rules of procedure which shall be observed by the Board in regard to the transaction of business at its meetings;
(b) the fees and allowances which may be paid to every director and every member of a committee constituted by the Board;
(c) the salary, allowances and terms and conditions of service of the Chairman;
(d) the remuneration of the officers and other employees of a Regional Rural Bank;
(e) any other matter which is required to be, or may be, prescribed.
(3) Every rule made by the Central Government under this uramance shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions T d if before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modiflcaSon in the rule or both Houses agree That the rule shouldnot be made the rule shall thereafter have effect only in such modified torn^ W no effect as the case may be; so, however, that any such modification * a^u\ment 'shall be without prejudice to the validity of anything Previously done under that rule.
Power to make rules.
SEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 657
31. If any difficulty arises in giving effect to the provisions of this Ordinance, the Central Government may make such order, not inconsistent with the provisions of this Ordinance, as may appear to it to be necessary for the purpose of Removing the difficulties;
Provided that no such order shall be made after the expiry of a period of five years from the commencement of this Ordinance.
Removal of difficulties.
32. The provisions of this Ordinance shall have effect notwithstanding anything to the contrary contained in any other law for the time being in force or in any contract, express or implied, or in any instrument having effect by virtue of any law other than this Ordinance, and notwithstanding any custom or usage to the contrary.
Ordinance to-override the provisions of other laws.
CHAPTER VII AMENDMENT OF CERTAIN ENACTMENTS
33. (I) In the Reserve Bank of India Act, 1934,—
(a) in section 2,—
(i) after clause (civ), the following clause shall be inserted, namely: —• '(cv) "Regional Rural Bank" means a Regional Rural Bank established under section 3 of the Regional Rural Banks Ordinance, 1975;';
(ii) after clause (e), the following clause shall be inserted, namely: — '(ea) "Sponsor Bank" means a Sponsor Bank aa denned in the Regional Rural Banks Ordinance, 1975;';
(iii) the existing clause (ei) shall be re-lettered as clause (eb);
(b) in section 46A, in sub-section (2), in clause (b),—
(i) after the words "State co-operative banks", the words "or Regional Rural Banks" shall be inserted;
(ii) for the proviso, the following proviso shall be substituted, namely: — "Provided that such loans and advances are fully guaranteed as to the repayment of principal and payment of interest,™
(i) in the case of ltans and advances to State cooperative banks, by the State Government; and
(ii) in the case of loans and advances to a Regional Rural Bank, by the Sponsor Bank.";
(c) in section 46B, in sub-section (2),—
(i) after the words "State co-operative banks", the words "or Regional Rural Banks" shall be inserted;
Amendment of certain enactment*.
2 of W-U.
65 S THE GAZETTE OF INDIA EXTRAORDINARY [PART II -
(ii) after the proviso, the following proviso shall be inserted, namely: — "Provided further that no such loans or advances shall be made—
(a) except for the purpose of enabling the Regional Rural Banks to pay any dues in respect of bills of exchange and promissory notes purchased or re-discounted by the Bank or loans and advances made to them by the Bank under section 17 and unless, in the opinion of the Bank, the Regional Rural Banks are unable to pay such dues in time owing to drought, famine or other natural calamities, and
(b) unless such loans and advances are fully guaranteed as to re-payment of the principal and payment of interest by the Sponser Bank.".
(2) In the Industrial Disputes Act, 1947, in section 2, in clause (a), in sub-clause (i), after the words and figures "Food Corporation Act, 1964, or", the words and figures "a Regional Rural Bank established under section 3 of the Regional Rural Banks Ordinance, 1975, or" shall be inserted.
(3) In the Banking Regulation Act, 1949,—
(a) in section 24, after sub-section (2A), the following sub-section shall be inserted, namely: — "(2B) The Reserve Bank may, by notification in the Official Gazette, vary the percentage referred to in sub-section (2A) in respect of a Regional Rural Bank.";
(b) in section 34A, in sub-section. (3), for the words "and any subsidiary bank", the words and figures "a Regional Rural Bank established under section 3 of the Regional Rural Banks Ordinance,
1975. and any subsidiary bank" shall be substituted;
(c) in section 36AD, in sub-section (3), for the words "and any subsidiary bank", the words and figures "a Regional Rural Bank established under section 3 of the Regional Rural Banks Ordinance, ]975. and any subsidiary bank" shall be substituted;
(d) an section 51, for the Words "or any other banking institution notified by the Central Government in this behalf", the words and figures "or a Regional Rural Bank established under section 3 of the Regional Rural Banks Ordinance, 1975, or any other banking institution notified by the Central Government in this behalf" shall be substituted,
(4) In the Banking Companies (Legal Practitioners' Clients' Accounts) Act, 1949, in section 2, in clause (a), for the words "and any subsidiary bank", the words and figures "a Regional Rural Bank established under section 3 of the Regional Rural Banks Ordinance, 1975, and any subsidiary bank" shall be substituted.
14 of 1947.
10 of 1949.
4Gof 1049.
SEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 659
(5) In the Deposit Insurance Corporation Act, 1961,—
(a) in section 2,—
(i) in clause (g),—
(a) for the words "or a banking company", the word;
"a Regional Rural Bank or a banking company" shall b< substituted;
(b) for the words "with a banking company", the words "with a Regional Rural Bank or with a banking company' shall be substituted;
(ii) in clause (i), after the words "banking company", the words "or a Regional Rural Bank" shall be inserted;
(iii) after clause (m), the following clause shall be inserted namely: — '(ma) "Regional Rural Bank" means a Regional Rural Bank established under section 3 of the Regional Rural Banks Ordinance, 1975;';
(b) after section 11, the following section shall be inserted, namely: — "11 A. The Corporation shall register every Regional Rural Bank before the expiry of thirty days from the date of its establishment.";
(c) in section 13, after sub-section (2), the following sub-section shall be inserted, namely: — "(3) The provisions of clauses (a), (b), (c), (d) and (h) of sub-section (7) shall apply to a Regional Rural Bank as they apply to a banking company.";
(d) in sub-section (1) of section 14, for the words "banking company", wherever they occur, the words "banking company, Regional Rural Bank" shall be substituted.
R tion or Regional Rural Banks.
47 0/ 1961.
THE SCHEDULE [See section 25(2)] I, , do hereby declare that I will faithfully, truly and to the best of my skill and ability execute and perform the duties required of me as a director, member of a committee, officer, employee or auditor (as the case may be) of the Regional Rural Bank and which property relate to any office or position in the said Bank held by me.
I further declare that I will hot communicate or allow to be communicated to any person not legally entitled thereto any information 66o TH1 GAZETTE OF INDIA EXTRAORDINARY [PART II—SEC. 1) relating to the affairs of the Regional Rural Bank or to the affairs of any person having any dealings with the Regional Rural Bank, nor will I allow any such person to inspect or have access to, any books or documents belonging to, or in the possession of the Regional Rural Bank and relating to the business of the Regional Rural Bank, or to the business of any person having any dealings wi.1h the Regional Rural Bank.
Signature.
Signed before me.
Dated FAKHRUDDIN ALI AHMED, President.
K. K. SUNDARAM, Secy, to the Govt. of; India.
,pmMTJ3> By THB GENERAL MANAGER, GOVERNMENT OF INJPlA PitE^S, M I N I p RQAI}, NEW PELHI AND PUBLISHED BY THE CONTROLLER OF fUBLICATIONS, DELHI, 1976