6 in section 24 of the principal act, - amendment of section 24 (a) sub-sections (/) and (2) shall be omitted; (8) for sub-section (24), the following sub-section shall be substituted, namely:— 5 2 of 1934 "\(2a) a scheduled bank, in addition to the average daily balance which it is, or may be, required to maintain under section 42 of the reserve bank of india act, 1934, and every other banking company, in addition to the cash reserve which itis required to maintain under section 18, shall maintain in india, assets, the value of which shall not be less than such percentage not exceeding forty per cent of the total of its demand and time liabilities in india as on the last friday of the second preceding fortnight as the reserve bank may, by notification inthe official gazette, specify from time to time and such assets shall be maintained, in such form and manner, as may be specified in such notification"; (©) sub-section (28) shall be omitted, 7 after section 29 of the principal act, the following section shall be inserted, namely: - insertion of new section 29a, power in respect of enterprises 20 '29 (1) the reserve bank may at any time direct a banking company to disclose in its financial statements or furnish to it separately, within such time and at such intervals as may be specified by the reserve bank, such statements and information relating to the business or affairs of any associate enterprise of the banking company as the reserve bank may consider necessary or expedient to obtain for the purpose of this act 1 of 1980 25 (2) notwithstanding anything to the contrary contained in the companies act, 1956, the reserve bank may, at any time, cause an inspection to be made of any associate enterprise of a banking company and its books and account by one or more of its officers or employees or other persons (3) the provisions of sub-sections (2) and (3) of section 35 shall apply mutatis: 'mutandis to the inspection under this section ssociate enterprise" in relation to a banking company includes explanation an enterprise which— 30 (i) is aholding company or a subsidiary company ora joint venture of the banking company ; of (id) controls the composition of the board of directors or other body governing the banking company; or ci (git) exercises, in the opinion of the reserve bank, significant influence on the banking company in taking financial or policy decisions; or is able to obtain economic benefits from the activities of the banking g company 8 after part iia of the principal act, the following part shall be inserted, namely: - | insertion    | of    ||--------------|-------|| hnew         | part  || ab          |       || 4o           |       | "part hab 'supersession of board of directors of banking companysupersession as 36aca (/) where the reserve bank is satisfied that in the public interest or for preventing the affairs of any banking company being conducted in a manner detrimental to the interest of the depositors or any banking company or for securing the proper management of any banking company, itis necessary so to do, the reserve bank may, for reasons to be recorded in writing, by order, supersede the board of directors of such banking company for a period not exceeding six months as may be specified in the order: provided thatthe period of supersession of the board of directors may be extended from time to time, so, however, that total period shall not exceed twelve months, (2) the reserve bank may, on supersession of the board of directors of the banking company under sub-section (/), appoint an administrator for such period as es it may determine (3) the reserve bank may issue such directions to the administrator as it may 'deem appropriate and the administrator shall be bound to follow such directions (4) upon making the order of supersession of the board of directors of a banking, 1 of 1986 company, notwithstanding anything contained in the companies act, 1956,— ld (a) the chairman, managing director and other directors shal as from the date of supersession, vacate their offices as such; (}) all the powers, functions and duties which may, by or under the 1 of 1956 provisions of the companies act, 1956 or this act, or any other law for the time being in force, be exercised and discharged by or on behalf of the board is of directors of such banking company, or by a resolution passed in general meeting of such banking company, shal, until the board of directors of such banking company is reconstituted, be exercised and discharged by the 'administrator appointed by the reserve bank under sub-section (2): provided that the power exercised by the administrator shall be valid to notwithstanding that such power is exercisable by a resolution passed in the general meeting of such banking company (5) the reserve bank may constitute a committee of three or more persons who have experience in law, finance, banking, administration or accountancy to assist the 'administrator in the discharge of his duties ai 2 (6) the committee shall meet at such times and places and observe such rules of procedure as may be specified by the reserve bank, (7) the salary and allowances to the administrator and the members of the committee constituted by the reserve bank shall be such as may be specified by the reserve bank and be payable by the concerned banking company ge (8) on and before the expiration of two months before the expiry of the period of supersession of the board of directors as specified in the order issued under subsection (/), the administrator of the banking company, shall call the general meeting of the company to elect new directors and reconstitute its board of directors - (9) notwithstanding anything contained in any other law or in any contract, the 357 memorandum or articles of association, no person shall be entitled to claim any compensation for the loss or termination of his office (j0) the administrator appointed under sub-section (2) shall vacate office immediately after the board of directors of such banking company has been reconstituted" ho 9, in section $1 of the principal act, in sub-section (7), before the words, brackets, amendment figures and letters "sub-sections (1b), (/c) and (2) of section 30", the figures and letter of section $1 "29a," shall be inserted 10 (1) in section 56 ofthe principal act, - amendment of section 56  (4) in clause (0) relating to the modification of section 22,— oa (a) in sub-section (1),— (0 clause (a) shall be omitted;(ii) after the proviso, the following proviso shall be inserted, namely:-— "provided further that nothing in this sub-section shall apply to a primary credit society carrying on banking business at the 'commencement of the banking regulation (amendment) act, 2005, 5" for a period of one year or for'such further period not exceeding three years as'the reserve bank may, after recording the reasons in writing for so doing, extend (6) in sub-section (2),— (2) for the words, "every primary credit society which becomes @ fo primary co-operative bank after such commencement shall before the expiry of three months from the date on which it so becomes a primary co-operative bank" the words, "every primary credit society which had become a primary co-operative bank at the commencement of the banking regulation (amendment) act, 2005, shall before the expiry of three months (5° from the date on which it had become a primary co-operative bank" shall be substituted; (i the words, "other than a primary credit society" shall be omitted; (iid in the proviso, - (a) in clause (ii), for the words "thereafter; or" the word 20 "thereafter," shall be substituted; (b) clause (iti) shall be omitted; (8) in clause (s) relating to the modification of sections 29 and 30, for the words and figures, "sections 29 and 30" the word and figures, "section 29" shall be substituted; 25 (c) after clause (3), the following clause shall be inserted, namely; - ""(sa) for section 30, the following section shall be substituted, namely: audit "30, (1) without prejudice to anything contained in any other law for the time being in force, where the reserve bank is satisfied that it is necessary in the public interest or in the interest of the co-operative 30 bank or its depositors so to do, it may at any time by order direct that a special audit of the co-operative bank accounts, for any such transactions or class of transactions or for such period or periods as may be specified in the order, shall be conducted and may by the same or a different order appoint a person duly qualified under any law for the 35 time being in force to be an auditor of companies to conduct such special audit, and the auditor shall comply with such directions and make a report of such audit to the reserve bank and forward a copy thereof to the co-operative bank, (2) the expenses of, or incidental to, the special audit specified in yo the order made by the reserve bank shall be borne by the co-operative bank (3) the auditor referted to in sub-section (/) shall have such powers, exercise such functions vested in and discharge the duties and be subject to the liabilities and penalties imposed on auditors, if any, 45~ appointed by the law establishing, constituting or forming the cooperative bank(4) in addition to the matters referred to in the order under subsection (1) the auditor shall state in his report - (a) whether of not the information and explanation required by him have been found to be satisfactory; 5 (6) whether or not the transactions of the co-operative bank which came to his notice have been within the powers of the cooperative bank; (c) whether or not the returns received from branch offices of fo the co-operative bank have been found adequate for the purpose of his audit; (@) whether the profit and loss accounts shows a true balance or profit or loss for the period covered by such account; (©) any other matter which he considers should be brought to the notice of the reserve bank and the shareholders of the co- 1s ' operative bank" amendment of certain 11 the enactments specified in the schedule are hereby amended to the extent and in the manner mentioned in the third column thereof  the schedule|                |             | (see        | section      | 11)         ||----------------|-------------|-------------|--------------|-------------|| 22             | slno       | short       | title        | 'amendment  || 1              | the         | state       | financial    | corporation || act,           | 1951        | (63         | of           | 1951)       || 10             | of          | 1949,       |              |             || shall          | be          | omitted    |              |             || 2             | the         | state       | bank         | of          || 35             |             |             |              |             || (23            |             |             |              |             || 0f1955)        |             |             |              |             || banking        |             |             |              |             || regulation     |             |             |              |             || act,           |             |             |              |             || 1949"          |             |             |              |             || shall          |             |             |              |             || be             |             |             |              |             || omitted       |             |             |              |             || 10 of          | 1989,       |             |              |             || 10             | of          | 1949,       |              |             || 3             | the         | state       | bank         | of          || (subsidiary    | banks)      | act,        | 1959(38      | banking     || of             | 1959)       |             |              |             || 4,             | the         | warehousing | corporations | in          || 30             | act,        | 1962        | (58          | of          || 10             | of          | 1949,       |              |             || 10             | of          | 1949,       |              |             || 5             | the         | regional    | rural        | banks       || 1976           | (21         | of          | 1976)        | be          || purposes       | of          | the         | banking      | regulation  || shall          | be          | omitted    |              |             || 10             | of          | 1949,       |              |             || 35             | 6           | the         | industrial   | finance     || corporation    | (transfer   | of          | -            | banking     || undertaking    | and         | repeal)     | act,         |             || 1993           | (23         | 0f          | 1993)        |             || 10             | of          | 1949,       |              |             || 7             |             |             |              |             || the            |             |             |              |             || industrial     |             |             |              |             || reconstruction |             |             |              |             || in             |             |             |              |             || section        |             |             |              |             || 11,            |             |             |              |             || the            |             |             |              |             || words          |             |             |              |             || and figures    |             |             |              |             || "and           |             |             |              |             || the            |             |             |              |             || yo             |             |             |              |             || bank           |             |             |              |             || (transfer      |             |             |              |             || of             |             |             |              |             || undertakings   |             |             |              |             || banking        |             |             |              |             || regulation     |             |             |              |             || act,           |             |             |              |             || 1949"          |             |             |              |             || shall be       |             |             |              |             || omitted       |             |             |              |             || and            |             |             |              |             || repeal)        |             |             |              |             || act,           |             |             |              |             || 1997           | (7          |             |              |             || of             |             |             |              |             || 1997)          |             |             |              |             || 10             | of          | 1949,       |              |             || 8             | ~the        | unit        | trust        | of          || of             | undertaking | and         | repeal)      | act,        || 2002           | (58         | 0f2002)     |              |             | 'statement of objectsand reasons,the banking regulation act, 1949 has been in force for more than five decades it empowers the reserve bank of india (hereinafter referred to as the reserve bank) to regulate 'and supervise the banking sector the banks are now operating ina liberalised environment in this scenario, it has become necessary that the banks in india are able to raise capital in accordance with international best practices to ensure that the control of banks is in the hands of fit and proper persons, persons who propose to acquire 5% or more of the share capital ofa bank should be required to obtain prior approval from the reserve bank and the reserve bank should have the necessary power to impose such conditions as it deems necessary while granting such approval it is, therefore, proposed to remove the restriction 'on voting rights concurrently with the stipulation of the statutory requirement of prior approval for acquisition of shares above the specified limit the reserve bank should also be able to specify acquisition of a minimum percentage of shares in a banking company if it considers necessary 2 itis necessary to confer more operational flexibility on the reserve bank in the conduct of monetary policy for this purpose, the reserve bank should have the power to specify statutory liquidity ratio without any floor or ceiling as also to specify any security as approved security for this purpose 3 the present restrictions on lending to directors and the companies or firms in which the directors are interested is posing a difficulty to banks in appointing competent independent directors, it's, therefore, necessary to empower the reserve bank to grant exemption to banking companies in appropriate cases 4, taking advantage of the liberalised environment, banks are engaging in multifarious activities through the medium of associate enterprises the reserve bank as the regulator of banks should be aware of the financial impact of the business of such enterprises on the financial position of banking companies, the reserve bank should, therefore, be empowcred to call for information and returns from the associate enterprises of banking companies also and inspect the same, if necessary 5 the reserve bank has the power to remove any director or other officers ofa bank 'but that power is not sufficient if the entire board of directors of a bank is functioning in a 'manner detrimental to the interests of depositors or the bank itself to deal with such a situation it is necessary that the reserve bank has the power to supersede the board of directors of a bank and appoint an administrator to manage the bank till alternate arrangements are made, 6 for a sound and healthy banking system, it is necessary to ensure that only the co- 'operative societies that have been licensed by the reserve bank carry on the business of banking, to protect the interest of depositors, the primary co-operative societies should therefore be given a timeframe within which they have to either stop the business of banking or fulfil all the requirements specified by the reserve bank and obtain a licence to carry on the business of banking the reserve bank should have the power to order a special audit of co-operative banks in public interest for a more effective supervision of co-operative banks the proposed legislation aims to make the regulatory powers of the reserve bank more effective 7 the bill seeks to achieve the above objects new deut; p chidambaram the 6th may, 2008  memorandum regarding delegated legislationclause 2 of the bill proposes to confer power upon the reserve bank of india to specify approved securities 2 clause 3 of the bill proposes to empower the reserve bank to issue guidelines to specify the class of, and the terms and conditions subject to which, the preference shares may be issued 3 clause 4 of the bill confers power upon the reserve bank to specify different criteria for acquisition of shares or voting rights in different percentages this clause further empowers the reserve bank to specify the minimum percentage of shares to be acquired in a banking company by an applicant 4, clause 6 of the bill empowers the reserve bank to specify such percentage of value of assets, which shall be maintained in india by every banking company 5 the matters in respect of which notification or guidélines issued or specified are all 'matters of procedure and administrative details and itis not practicable to provide for them in the bill itself the delegation of legislative power is, of anormal character  annexure estracts from! th: banking regulation act, 1949) (100f 1949)interpretation 5 in this act, unless there is anything repugnant in the subject or context, - (2) "approved securities" means— (i) securities in which a trustee may invest money under clause (a), clause (5), clause (4), clause (c) or clause (d) of section 20 of the indian trusts act, 1882 2 of 1882 2 of 1482 (id such of the securities authorised by the central government under clause (/) of section 20 of the indian trusts act, 1882, as may be prescribed; 12, (1) no banking company shall carry on business in india, unless it satisfies the following conditions, namel (i that the capital of the company consists of ordinary shares only or of ordinary shares or equity shares and such preferential shares as may have been issued prior to the ist day of july, 1944: regulation of paid-up capital, subscribed capital and authorised pital and voting tights of shareholders provided that nothing contained in this sub-section shall apply to any banking company incorporated before the | sth day of january, 1937 (2) no person holding shares in a banking company shall, in respect of any shares held by him, exercise voting rights on poll in excess of ten per cent, ofthe total voting rights of all the shareholders of the banking company maintenance of percentage of assets 24 (1) after the expiry of two years from the commencement of this act, every banking 'company shall maintain in india in cash, gold or unencumbered approved securities, valued at a price not exceeding the current market price, an amount which shall not at the close of business on any day be less than 20 per cent of the total of its demand and time liabilities in india, explanation—for the purposes of this section, "unencumbered approved securities" 'of a banking company shall include its approved securities lodged with another institution for an advance ot any other credit arrangement to the extent to which such securities have not been drawn against or availed of 2 of 1934 (2) in computing the amount for the purposes of sub-section (/), the deposit required 'under sub-section (2) of section 11 to be made with the reserve bank by a banking company incorporated outside india and any balances maintained in india by a banking company in current account with the reserve bank or the state bank of india or with any other bank which may be notified in this behalf by the central government, including in the case of a scheduled bank the balance required under section 42 of the reserve bank of india act, 1934, to be so maintained, shall be deemed to be cash maintained in india, (24) (a) notwithstanding anything contained in sub-section (1) or in sub-section (2), after the expiry of two years from the commencement of the banking companies (amendment) act, 196 36 of 1962 2 of 1934,(0) a scheduled bank, in addition to the average daily balance which itis, or may be, required to maintain under section 42 of the reserve bank of india act, 1934, and (i every other banking company, in addition to the cash reserve which it is 'required to maintain under section 18, shall maintain in indi (a) in cash, or (b) in gold valued at a price not exceeding the current market price or in lunencumbered approved securities valued at a price determined in accordance with such one or more of, or combination of, the following methods of valuation, namely, valuation with reference to cost price, market price, book value or face value, as may be specified' by the reserve bank from time to time, an amount which shall not, at the close of business on any day, be less than twenty-five per cent, or such other percentage not exceeding forty per cent as the reserve bank may, from time to time, by notification in the official gazette, specify, of the total of its demand and time liabilities in india, as on the last friday of the second preceding fortnight (4) in computing the amount for the purpose of clause (a),— (h the deposit required under sub-section (2) of section 11 to be made with the reserve bank by a banking company incorporated outside india; (ii) any cash or balances maintained in india by a banking company other than a scheduled bank with itself or with the reserve bank or by way of net balance in current account in excess of the aggregate of the cash or balance or net balance required to be maintained under section 18; 2ofl9s4 (iii) any balances maintained by a scheduled bank with the reserve bank in excess of the balance required to be maintained by it under section 42 of the reserve bank of india act, 1934;  (iv) the net balance in current accounts maintained in india by a scheduled bank; (v) any balances maintained by a regional rural bank in call of fixed deposit with its sponsor bank, shall be deemed to be cash maintained in india, explanation—for the purpose of clause (a) of this sub-section, the market price of an approved security shall be the price as on the date of the issue of the notification of as on any earlier or later date as may be notified from time to time by the reserve bank in respect of any class or classes of securities (28) 'the reserve bank may, by notification in the official gazette, vary the percentage referred to in sub-section (24) in respect of a regional rural bank | 23 of         | 198     ||---------------|---------|| application   |         || on of         | certain || provisions    | to      || the           | state   || bank          | of      || and           | other   || notified      |         || hanks        |         || 51 (1)       |         || without       |         || prejudice     |         || to            |         || the           |         || provisions    |         || of            |         || the           |         || state         |         || bank          |         || of            |         || india         |         || act,          |         || 1955,         |         || or            |         || any           |         || other         |         || enactment,    |         || the           |         || provisions    |         || of            |         || sections      |         || 10,           |         || 13            |         || to            |         || 15, 17,       |         || 19            |         || to            |         || 21a,          |         || 23            |         || to            |         || 28,           |         || 29            |         || [excluding    |         || sub-section   |         || (3)],         |         || sub-sections  |         || (8),          |         || (/c)          |         || and           |         || (2)           |         || of            |         || sections      |         || 30,           |         || 31,           |         || 34,           |         || 35,           |         || 35a,          |         || 36            |         || [excluding    |         || clause        |         || (d)           |         || of            |         || sub-section   |         || (/)],         |         || 45y           |         || to            |         || 4szf,         |         || 46            |         || to            |         || 48,           |         || 50, 52        |         || and           |         || $3            |         || shall         |         || also          |         || apply,        |         || so            |         || far           |         || as            |         || may           |         || be,           |         || to            |         || and           |         || in            |         || relation      |         || to            |         || the           |         || state         |         || bank          |         || of            |         || india         |         || or            |         || any           |         || corresponding |         || new           |         || bank          |         || or            |         || a             |         || regional      |         || rural         |         || bank          |         || or            |         || any           |         || subsidiary    |         || bank          |         || as            |         || they          |         || apply         |         || to            |         || and           |         || in            |         || relation      |         || to            |         || banking       |         || compani       |         |provided that— (a) nothing contained in clause (c) of sub-section (/) of section 10 shall apply to the chariman of the state bank of india or to a managing director of any subsidiary bank in so far as the said clause precludes him from being a director of, or holding an office in, any institution approved by the reserve bank; (8) nothing contained in sub-clause (ii) of clause (b) of sub-section (/) of section 20 shall apply to any bank referred to in sub-section (1), insofar as the said sub-clause (iii) of clause (b) precludes that bank from entering into any commitment for granting any loan or advance to or on behalf of a company (not being a government company) in which not less than forty per cent of the paid-up capital is held (whether singly or taken together) by the central goyernment or the reserve bank or a corporation owned by that bank; and (6) nothing contained in section 46 or in section 47a shall apply to,— (ian officer of the central government or the reserve bank, nominated of appointed as director of the state bank of india or any corresponding new bank or a regional rural bank or any subsidiary bank or a banking company; or (i) an officer of the state bank of india or a corresponding new bank or a regional rural bank or @ subsidiary bank nominated or appointed as director of any of the said banks (not being the bank of which he is an officer) or of a banking company",  part v application of the act to co-operative banks'ast 1 apply 10 56, the provisions of this act, as in force for the time being, shall apply to, or in co-operative relation to, co-operative societies as they apply to, or in relation to, banking companies hart subject to the following modifications, namely: twodifcaions  +  ' ' (0) in seetion 22,— (i) for sub-sections (/) and (2), the following sub-sections shall be substituted, namely:— "(1) save as hereinafter provided, no co-operative society shall carry on banking business in india unless—~ (a) itis a primary credit society, of (6) it is @ co-operative bank and holds a licence issued in that behalf by the reserve bank, subject to such conditions, if any, as the reserve bank may deem fit to impose: 23 of 1965, provided that nothing in this sub-section shall apply to a cooperative society, not being a primary credit society or a co-operative bank carrying on banking business at the commencement of the banking laws (application to co-operative societies) act, 1965, for a period of one year from such commencement 23 of 1965(2) every co-operative society carrying on business as a co-operative bank at the commencement of the banking laws (application to co-operative societies) act, 1965, shall before the expiry of three months from such commencement, every co-operative bank which comes into existence as a result of the division of any other co-operative society carrying on business as a co-operative bank, or the amalgamation of two or more co-operative societies carrying on banking business shall, before the expiry of three months from its so coming into existence, every primary credit society which becomes a primary co-operative bank after such commencement shall before the expiry of three months from the date on which it so becomes a primary co-operative bank and every cooperative society other than a primary credit society-shall before commencing banking business in india, apply in writing to the reserve bank for a licence under this section provided that nothing in clause (}) of sub-section (1) shall be deemed to prohi (i) a co-operative society carrying on business as a co-operative bank at the 'commencement of the banking laws (application to co-operative societies) act, 1965; or 23 of 1965 (ii) a co-operative bank which has come into existence as a result of the division of any other co-operative society carrying on business as a co-operative bank, or the amalgamation of two or more co-operative societies carrying on banking business at the commencement of the banking laws (application to co-operative societies) act, 1965 or at any time thereafter; or 23 of 1965 (iti) a primary credit society which becomes a primary co-operative bank after such commencement, from carrying on banking business until it is granted a licence in pursuance of this section or is, by a notice in writing, notified by the reserve bank that the licence cannot be granted to it extract from the stave financial corporation acr, 1951 (6301951) additional tye   '  capital of| the financiat corporation and is borrowing powers (3) the financial corporation may, for the purposes of carrying out its functions under this act, borrow money from the state government consultation with the development bank and the reserve bank on such terms and conditions as may be agreed upon  extract from the state bank of india act , 1955 (23001955)shares to be 12 notwithstanding anything contained in the acts hereinafter mentioned in this aoprmc! section, the shares of the state bank shall be deemed to be included among the securi securities enumerated in section 20 of the indian trusts act, 1882, and also to be approved securities 2 of 1882 for the purposes of the insurance act, 1938, and the banking regulation act, 1949, + eres  extract from the stare bask of inia (suasidiary bans) act, 1959 g80 1959)shares to be 20 notwithstanding anything contained in the acts hereinafter mentioned in this approved section, the shares of a subsidiary bank shall be deemed to be included among the securities sateen 'chumerated in section 20 of the indian trusts act, 1882, and also to be approved securities 2 of 1882 for the purposes of the insurance act, 1938, and the banking regulation act, 1949 fal  extract from the warehousing corporarion act, 1962 (58 of 1962)'shares 10 be 5 (j) the shares of the central warehousing corporation shall be guaranteed by the ergaes| central government as to the repayment of the principal and the payment of the annual govcinment dividend at such minimum rate as may be fixed by the central government, by notification and tobe published in the official gazette, atthe time of the issue of the shares trusted of approved (2) notwithstanding anything contained in the acts mentioned in this sub-section, secuniies, the shares ofthe central warehousing corporation shall be deemed to be included among the securities enumerated in section 20 of the indian trusts act, 1882, and also to be 2 of 1882, approved securities for the purpose of the insurance act, 1938 and the banking companies 4 of 1938 act, 1949, 10 of 1989, extract from the regional rural banks act, 1976 (21 of 1976)| shares     | to              | be       ||------------|-----------------|----------|| approved   |                 |          || securities |                 |          || 2          | of              | 1882     || of         | 149,            |          || 7,         | notwithstanding | anything || section,   | the             | shares   || securities | enumerated      | in       || to         | be              | approved | extract from the industrial finance corporation (transfer of undertaking and repeal) act, 1993 (23 or 1993)10, notwithstanding anything contained in any other law for the time being in force, the shares, bonds and debentures of the company shall be deemed to approved securities for the purposes of the indian trusts act, 1882, the insurance act, 1938 and the banking regulation act, 1949, 2 of 1882 4 of 1938 10 of 1949 shares, bonds and debentures to be deemed 10 be approved securities  extract from the industrial reconstruction bank (transfer of undertakings and repeat) act, 1997 (7 of 1997) '  ' : '11, notwithstanding anything contained in any other law for the time being in force, 2 of 1882 the shares, bonds and debentures of the company shall be deemed to be approved securities for the purposes of the indian trusts act, 1882, the insurance act, 1938 and the banking regulation act, 1949 4 of 1938+ 10 of 1949, shates, bonds and bentutes to be deemed to be approved securities  extract from ie unt tet st of india (trans"er of undertaking and remat) act, 2002 (58 of 2002)|          |                 |          |            |          |       |        |           |             |       |       | 2      | of        | 1882,    ||----------|-----------------|----------|------------|----------|-------|--------|-----------|-------------|-------|-------|--------|-----------|----------|| 17,      | notwithstanding | anything | contained  | in       | any   | other  | law       | for         | the   | time  | being  | in        | force,   || the      | shares,         | bonds,   | debentures | and      | units | of the | specified | undertaking | shall | be    | deemed | to        | be       || approved | securities      | for      | the        | purposes | of    | the    | indian    | trusts      | act,  | 1882, | the    | insurance | act,     || and      | the             | banking  | regulation | act,     | 1949 |        |           |             |       |       |        |           |          |4 of 1938+ 10 of 1989, shares, bonds, debentures and unit to be deemed 10 be approved securities 