Act Number: 23

Act Name: The State Bank of India Act, 1955

Year: 1955

Enactment Date: 1955-05-08

Long Title: 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.

Ministry: Ministry of Finance

Department: Department of Financial Services

Section 19: Composition of the Central Board.
    1*** The Central Board shall consist of the following, namely:
         (a) a chairman 2*** to be appointed by the Central Government in consultation with the Reserve Bank 3***.
         4[(b) such number of managing directors not exceeding four, as may be appointed by the Central Government in consultation with the Reserve Bank;]
        5*                            *                            *                            *                            *
         (c) if the total amount of the holdings of the shareholders, other than the 6[Central Government], whose names are on the 7[register of shareholders] three months before the date fixed for election of directors is--
             (i) not more than ten per cent. of the total issued capital, two directors,
             (ii) more than ten per cent. but not more than twenty-five per cent. of such capital three directors, and
             (iii) more than twenty-five per cent. of such capital, four directors, to be elected in the prescribed manner by such shareholders;
         8[(ca) one director, from among the employees of the State Bank, who are workmen, to be appointed by the Central Government in the manner provided in the rules made under this Act;
         (cb) one director, from among such of the employees of the State Bank, as are not workmen, to be appointed by the Central Government in the manner provided in the rules made under this Act];
         (d) not less than two and not more than six directors to be nominated by the Central Government, 9*** from among persons having special knowledge of the working of co-operative institutions and of rural economy or experience in commerce, industry, banking or finance;]
         (e) one director to be nominated by the Central Government; and
         10[(f) one director, possessing necessary expertise and experience in matters relating to regulation or supervision of commercial banks to be nominated by the Central Government on the recommendation of the Reserve Bank.]
Notes:
1. The brackets and figure "(1)" omitted by Act 3 of 1994, s. 8 (w.e.f. 15-10-1993).
2. Certain words omitted by Act 73 of 1976, s. 4 (w.e.f. 11-6-1976).
3. The words "and a vice-chairman" omitted by Act 27 of 2010, s. 10 (w.e.f. 15-9-2010).
4. Subs. by s. 10, ibid., for clause (b) (w.e.f. 15-9-2010).
5. Omitted by s. 10, ibid. (w.e.f. 15-9-2010).
6. Subs. by Act 32 of 2007, s. 7, for ''Reserve Bank'' (w.e.f. 29-6-2007).
7. Subs. by Act 3 of 1994, s. 8, for ''Principal register'' (w.e.f. 15-10-1993).
8. Ins. by Act 48 of 1973, s. 3 (w.e.f. 1-7-1974).
9. The words ''in consultation with the Reserve Bank'' omitted by Act 27 of 2010, s. 10 (w.e.f. 15-9-2010).
10. Subs. by s. 10, ibid., for clause (f) (w.e.f. 15-9-2010).
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