 the state bank of india (amendment) bill, 19s7(as introduced in lok sabha)  the state bank of india (amendment) bill, 1951 (as introduced in lok sabha)a bill further to amend the state bank of india act, 1955 be it enacted by parliament in the eighth year of the republic of india as follows:-1 this act may be called the state bank of india (amendment) short title act, 1957 5 23 of 1955 2 in section 21 of the state bank of india act, 1955 (hereinafter amen4ment referred to as the principal act), after sub-section (2), the following ~!sectlon sub-section shall be inserted, namely:-10 15 " (2a) the chairman ex officio shall be a member of every local board and local committee constituted under this section" 3 to section 23 of the principal act, the following proviso shall amendment be added, namely:-~~eection "provided that nothing in clause (c) shall apply to the chairman in relation to his membership of a local board or of a local committee"  4 in section 33 of the principal act,-amendment of section (1) in clause (i) ,-33 (a) after sub-clause <f>, the following sub-clause shall be inserted, namely:-"(ff) subject to such directions as may be issued by the central board, book-debts or other assets of any undertaking engaged in the financing of h~purchase transactions which are hypothecated to the state bank as security for such advances, loans or credits;"; (b) in sub-clause (h), for the words; brackets and letters "sub-clauses (f) and (g)", the words, brackets and letters "sub-clauses (f), (0) and (g)" shall be substituted; (2) after clause (x), the following clause shall be inserted, 5 namely:-"(xa) the acting as agent for the central government or any state government or any corporation in implementing any scheme for financing the construction of dwelling houses, and in advancing or lending of money from out of 10 the funds placed at its disposal as such agent by the government or corporation to any person upon such security (including the security of any immovable property) and on such terms and conditions and for such periods as may, notwithstanding anything contained in this act, be approved is' by the government or corporation by which such funds have been placed;"; (3) after clause (xix), the following clauses shall be inserted, namely:- c( (xixa) in consultation with the reserve bank and on 20 the recommendation of the central board, the subscribing to, buying, acquiring, holding or selling of any shares or debentures of any such financial institution as may be notified by the central government in this behalf; (xixb) the advancing or lending of money to persons engaged in such industries or classes of industries as may 25 be specified by the central board by directions issued in this behalf for any period in excess of six months but not exceeding seven years, and subject thereto and to such directions as may be issued by the central board, such advance or loan may be made on such terms and conditions and upon 30 such security (including the security of any immovable property) as the state bank may deem fit; (xixc) the advancing or lending of money to any cooperative housing society, all the membprs· of which are officers or employees of the state bank, and subject to such 35 directions as may be issued by the  central board, such advance or loan may be made for such periods in excess of six months, on suc:;h terms and conditions and upon such security (including the security of any immovable property) as the state bank may deem fit;" 40 amendment 5 in sub-section (1) of section 42 of the principal act, for the of aec:tion word "february", the word "march" shall be substituted 42  statement of objects and reasonssome of the restrictions in the state bank of india act relating to the grant of loans and advances for periods in excess of six months and against the primary security of immovable property are sought to be removed in the bill in order to enable the bank to assist· in providing adequate medium-term finance to industries in the context of the industrial development contemplated under the second five year plan opportunity has been taken to include a few other amendments relating to the internal procedure of the bank to facilitate performance of its activities t t krishnamachari new delhi; the 16th may, 1957 extracts from the state bank of india act, 1955 no 23 of 1955 - - - - - 33 subject to the other provisions contained in this act, the state badk may carry on and transact any of the following kinds of business, namely:-otherbusiness which the state bank may transact (i) the advancing and lending of money and the opening of cash credits upon the security of-(a) - - - - - (h) fully paid shares of companies with limited liability or immovable property or documents of title r~lating thereto as collateral security only where the original security is one of those specified in sub-clauses (a) to (e) and, subject to such directions as may be issued by the central board, where the original security is one of the kinds specified in sub-clauses (i> and (g): provided that where the central government or a st~te government or any government or ,authority outside india, which the central government may approve in this behalf, may accept from the state bank any advances or loans under any law for the time being in force, the central board may, if it thinks fit, make such advances or loans without any specific security; - - - - - balance 42 (1) a general meeting (hereinafter referred to as an annual ~s~~t!tc, general meeting) shall be held at such time and at such place where ba~ may d there is a local head office of the state bank, as shall from time to :: ge!~r!tae time be specified by the central board before the end of february meeting in each year, and a general meeting may be convened by the state bank at any other time: provided that the first annual general meeting shall be held at bombay - - - - - a bill further to amend the state bank of india act, 1955 (slsri t t kmhnamddlari minuter of pinmce) 