Bare Acts

The Reserve Bank of India Act, 1934

An Act to Constitute a Reserve Bank of India.

भारतीय रिजर्व बैंक अधिनियम,1934

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Act Details

Act Number:

Act Year:

1934

Location:

Enactment Date:

3/6/1934

Enforcement Date:

06-03-1934

Ministry:

Ministry of Finance

Department:

Department of Financial Services

Full List of RBI Act Sections

PRELIMINARY

Section 1 to Section 2

Section 1

Short title, extent and commencement.

Section 2

Definitions.

INCORPORATION, CAPITAL, MANAGEMENT AND BUSINESS

Section 3 to Section 19

Section 3

Establishment and incorporation of Reserve Bank.

Section 4

Capital of the Bank.

Section 5

[Omitted.].

Section 6

Offices, branches and agencies.

Section 7

Management.

Section 8

Composition of the Central Board, and term of office of Directors.

Section 9

Local Boards, their constitution and functions.

Section 10

Disqualifications of Directors and members of Local Boards.

Section 11

Removal from and vacation of office.

Section 12

Casual vacancies and absences.

Section 13

Meetings of the Central Board.

Section 14

[Omitted.].

Section 15

[Omitted.].

Section 16

[Omitted.].

Section 17

Business which the Bank may transact.

Section 18

Power of direct discount.

Section 18A

Validity of loan or advance not to be questioned.

Section 19

Business which the Bank may not transact.

CENTRAL BANKING FUNCTIONS

Section 20 to Section 45

Section 20

Obligation of the Bank to transact Government business.

Section 20A

[Omitted.].

Section 21

Bank to have the right to transact Government business in India.

Section 21A

Bank to transact Government business of States on agreement.

Section 21B

Effect of agreements made between the Bank and certain States before the 1st November, 1956.

Section 22

Right to issue bank notes.

Section 23

Issue Department.

Section 24

Denominations of notes.

Section 25

Form of bank notes.

Section 26

Legal tender character of notes.

Section 26A

Certain bank notes to cease to be legal tender.

Section 27

Re-issue notes.

Section 28

Recovery of notes lost, stolen, mutilated or imperfect.

Section 28A

Issue of special bank notes and special one rupee notes in certain cases.

Section 29

Bank exempt from stamp duty on bank notes.

Section 30

Powers of Central Government to supersede Central Board.

Section 31

Issue of demand bills and notes.

Section 32

[Omitted.].

Section 33

Assets of the Issue Department.

Section 34

Liabilities of Issue Department.

Section 35

[Omitted.].

Section 36

[Omitted.].

Section 37

Suspension of assets requirements as to foreign securities.

Section 38

Obligations of Government and the Bank in respect of rupee coin.

Section 39

Obligation to supply different forms of currency.

Section 40

Transactions in foreign exchange.

Section 41A

[Omitted.].

Section 42

Cash reserves of scheduled banks to be kept with the Bank.

Section 43

Publication of consolidated statement by the Bank.

Section 43A

Protection of action taken in good faith.

Section 44

[Omitted.].

Section 45

Appointment of agents.

COLLECTION AND FURNISHING OF CREDIT INFORMATION

Section 45A to Section 45G

Section 45A

Definitions.

Section 45B

Power of Bank to collect credit information.

Section 45C

Power to call for returns containing credit information.

Section 45D

Procedure for furnishing credit information to banking companies.

Section 45E

Disclosure of information prohibited.

Section 45F

Certain claims for compensation barred.

Section 45G

[Omitted.].

PROVISIONS RELATING TO NON-BANKING INSTITUTIONS RECEIVING DEPOSITS AND FINANCIAL INSTITUTIONS

Section 45H to Section 45QB

Section 45H

Chapter IIIB not to apply in certain cases.

Section 45I

Definitions.

Section 45IA

Requirement of registration and net owned fund.

Section 45IB

Maintenance of percentage of assets.

Section 45IC

Reserve fund.

Section 45ID

Power of Bank to remove directors from office.

Section 45IE

Supersession of Board of directors of non-banking financial company (Other than Government Company).

Section 45J

Bank to regulate or prohibit issue of prospectus or advertisement soliciting deposits of money.

Section 45JA

Power of Bank to determine policy and issue directions.

Section 45K

Power of Bank to collect information from non - banking institutions as to deposits and to give directions.

Section 45L

Power of Bank to call for information from financial institutions and to give directions.

Section 45M

Duty of non-banking institutions to furnish statements, etc., required by Bank.

Section 45MA

Powers and duties of auditors.

Section 45MAA

Power to take action against auditors.

Section 45MB

Power of Bank to prohibit acceptance of deposit and alienation of assets.

Section 45MBA

Resolution of non-banking financial company.

Section 45MC

Power of Bank to file winding up petition.

Section 45N

Inspection.

Section 45NA

Deposits not to be solicited by unauthorised person.

Section 45NAA

Power in respect of group companies.

Section 45NB

Disclosure of information.

Section 45NC

Power of Bank to exempt.

Section 45O

Omitted. .

Section 45P

[Omitted.].

Section 45Q

Chapter IIIB to override other laws.

Section 45QA

Power of Company Law Board to offer repayment of deposit.

Section 45QB

Nomination by depositors.

PROHINITION OF ACCEPTANCE OF DEPOSITS BY UNINCORPORATED BODIES

Section 45R to Section 45T

Section 45R

Interpretation.

Section 45S

Deposits not to be accepted in certain cases.

Section 45T

Power to issue search warrants.

REGULATION OF TRANSACTIONS IN DERIVATIVES, MONEY MARKET INSTRUMENTS, SECURITIES, ETC.

Section 45U to Section 45X

Section 45U

Definitions.

Section 45V

Transactions in derivatives.

Section 45W

Power to regulate transactions in derivatives, money market instruments, etc.

Section 45X

Duty to comply with directions and furnish information.

JOINT MECHANISM

Section 45Y

Joint Mechanism.

MONETARY POLICY

Section 45Z to Section 45ZO

Section 45Z

Provisions of this Chapter to override other provisions of Act.

Section 45ZA

Inflation target.

Section 45ZB

Constitution of Monetary Policy Committee.

Section 45ZC

Eligibility and selection of Members appointed by Central Government.

Section 45ZD

Terms and conditions of appointment of Members of Monetary Policy Committee.

Section 45ZE

Removal of Members of Monetary Policy Committee.

Section 45ZF

Vacancies, etc., not to invalidate proceedings of Monetary Policy Committee.

Section 45ZG

Secretary to Monetary Policy Committee.

Section 45ZH

Information for Monetary Policy Committee Members.

Section 45ZI

Meetings of Monetary Policy Committee.

Section 45ZJ

Steps to be taken to implement decision of Monetary Policy Committee.

Section 45ZK

Publication of decisions.

Section 45ZL

Publication of proceedings of meeting of Monetary Policy Committee.

Section 45ZM

Monetary Policy Report.

Section 45ZN

Failure to maintain inflation target.

Section 45ZO

Power to make rules.

GENERAL PROVISIONS

Section 46 to Section 58A

Section 46

Contribution by Central Government to the Reserve Fund.

Section 46A

Contribution to National Rural Credit (Long Term Operations) Fund and Nation al Rural Credit (Stabilisation) Fund.

Section 46C

National Industrial Credit (Long Term Operations) Fund.

Section 46D

National Housing Credit (Long Term Operations) Fund.

Section 47

Allocation of surplus profits.

Section 48

Exemption of Banks from income-tax and super-tax.

Section 49

Publication of Bank rate.

Section 50

Auditors.

Section 51

Appointment of special auditors by Government.

Section 52

Powers and duties of auditors.

Section 53

Returns.

Section 54

Rural Credit and Development.

Section 54A

Delegation of powers.

Section 54AA

Power of Bank to depute its employees to other institutions.

Section 55

[Omitted.].

Section 56

[Omitted.].

Section 57

Liquidation of the Bank.

Section 58

Power of the Central Board to make regulations.

Section 58A

Protection of action taken in good faith.

PENALTIES

Section 58B to Section 61

Section 58B

Penalties.

Section 58C

Offences by companies.

Section 58D

Application of section 58B barred.

Section 58E

Cognizance of offences.

Section 58F

Application of fine.

Section 58G

Power of Bank to impose fine.

Section 59

[Repealed.].

Section 60

[Repealed.].

Section 61

[Repealed.].