Restrictions on power to remit debts
Section 20A of the Banking Regulation Act, 1949 deals with restrictions on power to remit debts. Notwithstanding anything to the contrary contained in section 293 of the Companies Act, 1956, (1 of 1956) a banking company shall not, except with the prior approval of the Reserve Bank, remit in whole or in part any debt due to it by-- (a) any of its directors, or (b) any firm or company in which a The Act came into force on 16 Mar 1949.
1[20A. Restrictions on power to remit debts.--(1) Notwithstanding anything to the contrary contained in section 293 of the Companies Act, 1956, (1 of 1956) a banking company shall not, except with the prior approval of the Reserve Bank, remit in whole or in part any debt due to it by--
(a) any of its directors, or
(b) any firm or company in which any of its directors is interested as director, partner, managing agent or guarantor, or
(c) any individual if any of its directors is his partner or guarantor.
(2) Any remission made in contravention of the provisions of sub-section (1) shall be void and of no effect.]
Section 20A, The Banking Regulation Act, 1949 (Act 10 of 1949).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
Questions about Section 20A
What does Section 20A of the Banking Regulation Act deal with?
Section 20A of the Banking Regulation Act is headed "Restrictions on power to remit debts". [20A. Restrictions on power to remit debts.--(1) Notwithstanding anything to the contrary contained in section 293 of the Companies Act, 1956, (1 of 1956) a banking company shall not, except with the prior approval of the Reserve Bank, remit in whole or in part any debt due to it by-- (a) any of its
How do I find court cases under Section 20A of the Banking Regulation Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Banking Regulation Act 1949 20A, section 20A Banking Regulation Act 1949, section 20A of the Banking Regulation Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.
What should I read with Section 20A of the Banking Regulation Act, and has it changed?
1 other provision in this corpus refers back to it.
When did Section 20A of the Banking Regulation Act come into force?
Section 20A of the Banking Regulation Act, cited as Banking Regulation Act 1949 20A, came into force on 16 Mar 1949, having been enacted on 10 Mar 1949. It is in force as at the date shown on this page.
Other sections of this Act
- 56. Act to apply to co-operative societies subject to modifications5544 words
- 45. Power of Reserve Bank to apply to Central Government for suspension of business by a banking company and to prepare scheme of reconstitution or amalgamation2310 words
- 10B. Banking company to be managed by whole time chairman1171 words
- 5. Interpretation1164 words
- 43A. Preferential payments to depositors1031 words
- 11. Requirement as to minimum paid-up capital and reserves988 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 20 Oct 2026. This page is not a substitute for legal advice.