Section 38
Disposal of profits.
The State Bank of India Act, 1955
About this Act
An Act to constitute a State Bank for India, to transfer to it the undertaking of the Imperial Bank of India and to provide for other matters connected therewith or incidental thereto.
(1) After making provision for bad and doubtful debts, depreciation in
assets, equalisation of dividends, contribution to staff and superannuation funds and for all other matters
for which provisions is necessary by or under this Act or which are usually provided for by banking
companies, the State Bank may, out of its net profits, declare a dividend.
(2) Subject to the provisions of paragraph 6 of the First Schedule, the rate of dividend shall be determined by the Central Board.
(2) Subject to the provisions of paragraph 6 of the First Schedule, the rate of dividend shall be determined by the Central Board.