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 21: Local Boards.
    1[21. Local Boards.--(1) There shall be constituted at each place where the State Bank has a local head office, a Local Board which shall consist of the following members, namely:--
         2[(a) the chairman, ex officio or the managing director nominated by the chairman;]
        3[(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;]
         (c) six members to be nominated by the Central Government 4***;
        5*                            *                            *                            *                            *
        (e) 6[the Chief General Manager] of the local head office, appointed by the State Bank, ex officio.
     7[(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 Board) for an existing local head office under clause (c) of sub-section (1) 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.]
     (3) Any vacancy caused in the existing Local Board as a result of any member thereof becoming a member of the new Local Board under sub-section (2) shall be deemed to be a casual vacancy and be filled in accordance with the provisions of section 25.
    8*                            *                            *                            *                            *
     9[(5) The 10[Central Government] shall, in consultation with the chairman, appoint--
         (a) a member of a Local Board nominated under clause (c) of sub-section (1) 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.]]
Notes:
1. Subs. by Act 35 of 1964, s. 5, for section 21 (w.e.f. 1-12-1974).
2. Subs. by Act 27 of 2010, s. 13, for clause (a) (w.e.f. 15-9-2010).
3. Subs. by Act 3 of 1994, s. 10, for clause (b) (w.e.f. 15-10-1993).
4. The words ''in consultation with the Reserve Bank'' omitted by Act 27 of 2010, s. 13 (w.e.f. 15-9-2010).
5. Omitted by Act 3 of 1994, s. 10(w.e.f. 15-10-1993).
6. Subs. by Act 48 of 1973, s. 5, for ''the Secretary and Treasurer'' (w.e.f. 1-7-1974).
7. Subs. by Act 3 of 1994, s. 10, for sub-section (2) (w.e.f. 15-10-1993).
8. Omitted by s. 10, ibid. (w.e.f. 15-10-1993).
9. Subs. by s. 10, ibid., for sub-section (5) (w.e.f. 15-10-1993).
10. Subs. by Act 27of 2010, s. 13, for ''Governor of the Reserve Bank'' (w.e.f. 15-9-2010).
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