REGISTERED NO. DL-33004/94 The Gazette of India EXTRAORDINARY
PART II—Section 1 PUBLISHED BY AUTHORITY No. 3] NEW DELHI. TUESDAY. JANUARY 14,1915/PAUSA 14. 1913 Separate paging is given to this Part in order that it may be filed as a separate compilation MINISTRY OF LAW, JUSTICE AND COMPANY AFFAIRS (Legislative Department) New Delhi, the 4th January, 1915/Pausa 14, 1915 (Saka) The following Act of Parliament received the assent of the President on the 4th January, 1994, and is hereby published for general information:— THE STATE BANK OF INDIA (AMENDMENT) ACT, 1993 No. 3 OF 1994 [4th January, 1994.] An Act further to amend the State Bank of lndia Act, 1955. BE it enacted by Parliament in the Forty-fourth Year of the Republic of India as follows: —
1. (1) This Act may be called the State Bank of India (Amendment) Act, 1993.
(2) It shall be deemed to have come into force on the 15th day of October, 1993. Short title and commencement. 23rd 1955 2. In section 4 of the State Bank of India Act, 1955 (hereinafter referred to as the principal Act),—
(i) for the words "twenty lakhs", the words "two crores" shall be substituted;
(ii) for the words "one hundred rupees", at both the places where they occur, the words "ten rupees" shall be substituted. Amendment of section 4. 3 G. of 1.—1. 2 THE GAZETTE OF INDIA EXTRAORDINARY ' LlA»r I I - Substitution of new section for section. 11. Restrictions on voting rights.
3. For section 11 of the principal Act, the following section shall be substituted, namely;— "11. No shareholder, other than the Reserve Bank, shall be entitled to exercise voting rights in respect of any shares held by him in excess of ten per cent, of the issued capital;
Provided that such shareholder shall be entitled to exercise voting rights at such higher percentage as the Central Government may, after consultation with the Reserve Bank, specify.". Amendment of section 12
4. In section 12 of the principal Act. for the words and figures "Banking Companies Act, 1949', the words and figures "Banking Regulation Act, 1949" shall be substituted. Substitution of newsection for section 13. Register of shareholder*.
5. For section, 13 of the principal Act, the following section shall be substituted, namely: — "13. (I) The State Bank shall keep at its Central Office, a register, in one or more books of the shareholders, and shall enter therein the following particulars so far as they may be available:—
(i) the names, addresses and occupations, if any, of the shareholders and a statement of the shares held by each shareholder, distinguishing each share by its denoting number;
(ii) the date on which each person is so entered as a shareholder; (Hi) the date on which any person ceases to be a shareholder; and
(iv) such other particulars as may be prescribed.
(2) Notwithstanding anything contained in sub-section (1), it shall be lawful for the State Bank to keep the register of shareholders in computer floppies or diskettes subject to such safeguards as may be prescribed.
(3) Notwithstanding anything contained in the Indian Evidence Act, 1872, a copy of. or extract from, the register of shareholders, certified to be a true copy under the hand of an officer of the State Bank authorised in this behalf, shall, in all legal proceedings, be admissible in evidence.". 1 of 1872. Omission of section
14. Substitution of new section for section 15. Trusta not to bo entered on the register of shareholders
6. Section 14 of the principal Act shall be omitted.
7. For section 15 of the principal Act, the following section shall be substituted, namely; — ''15. No notice of any trust, express, implied or constructive, shall be entered on the register of shareholders or be receivable by the State Bank.". SBC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 3
8. In section 19 of the principal Act,—
(i) in the opening portion, the brackets and figure "(1)" shall be omitted;
(ii) in-clause (c), for the words "principal register", the words "register of shareholders" shall be substituted. Amendment of section 19.
9. In section 20 of the principal Act,—
(a) in sub-section (3), the words, brackets and figure "of subsection (2)" shall be omitted;
(b) in sub-section (3A), for the words, brackets, figures and letter "of sub-section (2) of section 19 or nominated- under clause
(d) of that sub-section", the words, figures, brackets and letter "of section 19 or nominated under clause (d) of that section" shall be substituted;
(c) in sub-section (4), for the words, brackets, figures and letters "of sub-section (2) of section 19 or nominated under clause (d) or clause (e) or clause (f) of that sub-section", the words, figures, brackets and letters "of section 19 or nominated under clause (d) or clause (e) or clause (f) of that section" shall Be substituted. Amendment of section
20. 1©. In section 21 of the principal Act,—
(a) in sub-section (1),—
(i) for clause (b), the following clause shall be substituted, namely:— "(b) all such directors elected or nominated to the Central Board under clause (c) or clause (d) of section 19 as are ordinarily resident in the area falling within the jurisdiction of the" local head office;";
(ii) clause (d) shall be omitted;
(b) for sub-section (2), the following sub-section shall be substituted, namely:— "(2) Where as a result of the establishment of any local • head office (hereinafter referred to as the new local head office) for any area which is already falling within the jurisdiction of another local head office (hereinafter referred to as the existing local head office) a Local Board (hereinafter referred to as the new Local Board) is constituted for the new local head office, any person who is, at the time of such constitution, holding office as a member of a Local Board (hereinafter referred to as the existing Local BoaTd) for an existing local head office under clause (c) of sub-section (2) and is ordinarily resident in the area falling within the jurisdiction of the new local head office, shall cease to hold office as member of the existing Local Board and shall become a member of the new Local Board and shall on becoming such member be deemed to have been nominated to the new Local Board and shall hold office as such member for the unexpired portion of his term of office as a member of the existing Local Board."; Amendment of section 21, 4 THE GAZETTE OF INDIA EXTRAORDINARY [PAST II—
(c) sub-section, (4) shall be omitted;
(d) for sub-section (5), the following sub-section shall be substituted, namely;— "(5) The Governor of the Reserve Bank shall, in consultation with the chairman, appoint—
(a) a member of a Local Board nominated under clause
(c) of sub-section (2) to be the president thereof; and
(b) a member of a Local Board holding office under clause (b) or nominated under clause (c) of that sub-section to be the vice-president thereof.". Amendment ot section
21A.
11. In section 2lA of the principal Act, sub-section (2) shall be omitted. Amendment of ejection
12. In section 21B of the principal Act, for the words "served by the branch register", the words "falling within the jurisdiction" shall be substituted. Amendment of section 38,
13. In section 22 of the principal Act—
(a) in sub-section (1),—
(i) in clause (da), in the opening portion, the words, brackets and figure "of sub-section (1)" shall be omitted;
(ii) for clause (h), the following clause shall be substituted, namely: — "(h) in the case of an elected director, he is not registered as a holder in his own right of unencumbered shares in the State Bank of a nominal value of at least five thousand rupees:
Provided that in the case of a director appointed under clause (ca) or clause (cb) of section 19, the disqualification mentioned in clause (d) shall not operate.";
(b) in sub-section (4), in clause (a), for the words and figures "Banking Companies Act, 1949, the words and figures "Banking Regulation Act, 1949" ahall be substituted Amendment of section 24,
14. In section 24 of the principal Act,—
(a) in sub-section (3), for the words, brackets and figures ''of sub-section (1) of section 19", the words and figures "of section 19" shall be substituted;
(b) in sub-section (4), the words, brackets and figure "of subsection (1)" shall be omitted;
(e) sub-section (5) shall be omitted. SHC. 11 THE GAZETTE OF fNDlA F \1K \ORDINAUY 5
15. In section 25 of the principal Act,—
(a) in sub-section (2), for the portion beginning with the words "clause (cb) of sub-section (1)" and ending with the worths "as the case may be,", the following shall be substituted, namely: — ••clause (cb) of seciion 19 or of a member of a Local Board other than the chief general nmna^er. the vacancy shal] be filled--
(a) in Itje case of on elected director, by election; and
(b) in the case of a director nominated under clause
(d) of. section 19 oi u membui of n Local Board nominated under clause (c) of sub-section (i) of section 21, by nomination in consultation with the Reserve Bank:
Provided that where the duration of the vacancy in the office of an elected director is likely to be less than six months, the vacancy maj be filled by the remaining directors"; (/>) in subsection (4), the words, brackets and figure "ol subhi'cMon (1)" shall bi' omitted. Amendment of section
20. Hi. In section 31 of the principal Act. m the proviso to pub-section
(3). in clause (Hi), the words, brackets and figures "of sub-secrion </)" shall be omitted. Annuel nunt of
31.
17. In Section 35 of the principal Act, in sub-section (10), in clause
(a), for the words and figures "Banking Companies Act, 1049", the words and figures "Banking Regulation Act 1949" shall be substituted. Amend ment or section
38. II Df KW2. 43 of 1061 JK In section 36 of the principal Act, in sub-section (4), for the words and figures "Indian Income-tax Act, 1922", the words and figures "Income-tax Act. 1961" shall be substituted. Ann ndment QT . ( clton 3fl.
19. In section 49 of the principal Act, in sub-section (2) t in clause
(c), the words, brackets and figure "of sub-spction (1)" shall be omllt rd . Amendment o( .•-cction 4B, 20 In section 50 of the principal Act, in sub-section (2).- {i) for clause (b), the following clause shall be substituted, namely '•— "(b) 1he maintenance of register of shareholders, and the particulars to be entered in such register in addition to those specified in section 13. 'he safeguards io be observed in the maintenance of register of shareholders on computer floppies or diskettes, the inspection and closure of the register ni shareholders and all other matters connected therewith;''; (H) in clause (c) ; for the words "served by the different branch registers", the words "falling within the jurisdiction of each local head office" shall be substituted; Amendment ol (beetion 5fr (-, THE GAZETTE OF INDTA EXTRAORDINARY | PAWT H—
(iii) after clause (c), the following clause bhall be inserted, namely: ~ "feat tbe determination of areas falling within the j ariadk'ion of each local head office;";
(iv) in claxise ( j j , the words ''on branch registers" sliall be omitted. Transition nl provisii.i.i
21. \1) \s soon aa may be after the commencement of the State Bank of India (Amendment) Act, 1993 all branch registers kept by the State Bank at its local head offices, immediately before such commencemem, shall be closed jnd transferred to the Central Office. \Z) AH applications or matters relating to the shares in the branch •.registers referred to in sub-section (1) pending at the local head offices immediately before the commencement of the State Bank of India (Amendment) Act, 1993 shall be transferred to the Central Office and dealt wiih, or disposed of, as if such applications or matters were made to, or pending with, the Central Office.
(3) Every shareholder of ihe State Bank holding shares in the denomination of one hundred rupees immediately before the commencement ol! the State Bank nf India (Amendment) Act, 1993 shall be entitled to have the share certificates held by him replaced by share certificates of shares of equivalent value in the denomination of ten rupees in accordance with the procedure specified by the State Bank in this behalf. Amend- *uent of Act 66 of
1380.
22. For section 13 of the Banking, Public Financial Institutions and Negotiable Instruments Laws (Amendment) Act, 1988, the following section shall be substituted, namely:— ' Amendment of Fret Ion
21A. "13. In section 21A of the State Bank Act —
(a) for sub-section CO, the following sub-section shall be substituted, namely: — "(1) Subject to Ihe provisions contained in this section and in sub-section (2) of section 21, a member of a Local Board nominated under clause (c) of sub-section (1) of section 2J shall hold office for such term, not exceeding three years, as the Central Government may specify in this behalf and thereafter until his successor has been duly nominated find shall be eligible for renomination: Provide I (jiafc no such d;.rs?tnr rhajl hold office ru'itinuously for a period exeso-'in;' fix years.";
(h) aiVr T'b-section (4), t V vllnwing sub-section si nil be inserted, namsly: — "(5) A member of a Local Board nominated under clause (c) of sub-section (1) of sestlon 21 shall hold office during the pleasure of the Central Government.". SLC. IJ 1 H L CJ \£fcl If- Ol IMJJ V I \ I K u > K D I \ \KY 7 i i rd 33 23. (J) The State Bank of India (Amendment) Ordinance, 1993 is hereby repealed
(2) Notwithstanding huch repeal, anything done or any action taken under the principal Act, as amended by the ^aid Ordinance, shall be deemed to have bern done ot taken undet the principal Act, . -, amended bv this Act. Repeal and K L MOHANPUKIA Sun v> the Govt of India,