| Insured co-operative
banks |
97. Notwithstanding anything
contained in this Act, in the case
of an insured co-operative bank. |
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(1) an order for the
winding up, or an sanctioning a
scheme of compromise or arrangement
or of amalgamation or reconstruction
(including division or
reorganization), of the bank may be
made only with the previous sanction
in writing of the Reserve bank. |
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(2) An order for the winding up
the back shall be made by the
Registrar if so required by the
Reserve Bank in the circumstances
referred to in Section 13D of the
Deposit Insurance Corporation Act
1961; |
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(3) If so required
by the Reserve Bank in the public
interest or for preventing the
affairs of the bank being conducted
in a manner detrimental to the
interests of the depositors or for
securing the proper management of
the bank, an order shall be made for
the super session (removal) of the
committee or other managing body (by
whatever name called) of the bank
and the appointment of an
administrator there for for such
period, not exceeding five years in
the aggregate as may from time to
time be specified by the Reserve
Bank and the administrator so
appointed shall, after the expiry of
his term of office, continue in
office until the day immediately
preceding the date of the first
meeting of the new committee ; |
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(4)no appeal, revision or review
shall lie or be permissible against
an order such as is referred to in
clauses (1), (2) or (3) made with
the previous sanction in writing or
on the requisition of the Reserve
Bank and such order or sanction
shall not be liable to be called in
question in any manner; |
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(5) the
liquidator of the insured
co-operative bank or transferee
bank, as the case may be, shall be
under an obligation to repay to the
Deposit Insurance Corporation in the
circumstances, to the extent and in
the manner referred to in section 21
of that act. |
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EXPLANATION |
| 47 of 1961 |
(i) For the
purposes of this section “a
co-operative bank” means a bank as
has been defined in the Deposit
Insurance Corporation Act, 1961. |
|
47 of 1961 |
(ii)
“ Insured co-operative bank” means a
society which is an insured bank
under the provisions of the deposit
Insurance Corporation Act, 1961. |
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(iii) “
Transferee bank” in relation to an
insured co-operative bank means a
co-operative bank |
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(a) with which
such insured co-operative bank is
amalgamated, or |
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(b) to which the
assets and liabilities of such
insured co-operative bank are,
transferred or |
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(c) into which
such insured co-operative bank is
divided or converted under the
provisions of this Act. |
