Banking -- Election of shareholder Director of Bank - Eligibility - RBI guidelines 2007 expressly stated that in determining the fit and proper status of an existing elected Director/proposed candidate, nomination committee should determine his educational qualification, his experience and field of expertise, track record and integrity - However, said guidelines, is only..........
Banking -- Election of shareholder Director of Bank - Eligibility - Nomination committee set up under RBI Circular disqualified respondent no.1 for any further election as Director of Bank on the ground that he is over aged i.e above 65 years and already served for a period of two terms as Director of said Bank - However, RBI guidelines framed u/s 9(3AA) of Banking..........
Indian Penal Code, 1860, Section 409 -- Banking - Dishonestly misappropriation of shares - Accused liable to pay agreed price for shares which were not returned to Bank - Learned Special Court convicted accused u/s 409 IPC - However, settlement arrived at between parties - Appellant directed to pay decretal amount as agreed with interest @ 12% p.a within 6 months - On such..........
Banking -- Centralized pooling account - New banking system provides that payee can present the cheque for collection in any branch of Bank anywhere in the country without there being any account being maintained in the said branch - Branch bank which accepts the cheques would thereafter process the same - Credit of requisite amounts mentioned in the cheque would be given..........
Banking law -- One Time Settlement Scheme (OTS) - OTS restricting sale of mortgaged property within three years of settlement - Admittedly, sale not made within said period - Possession of mortgaged property not delivered to first respondent so far - Three years lock in period expired - Creation of third party interest or arrangement by way of agreement for sale within..........
Prevention of Corruption Act, 1988, Section 2(c), Banking Regulation Act, 1949, Section 46A -- Public servant - Chairman/managing director or executive director of a private bank operating under licence issued by RBI under 1949 Act, holds an office and performs public duty is deemed to be public servant - Prosecution can be launched against them under P.C. Act - However,..........
Banking law -- Joint account - Death of joint account holder - "Either or survivor" clause - Survivor of joint account holders becomes entitled under law to continue to operate the account or receive the amount due under the account notwithstanding the death of joint account holder...........
Banking law -- Nominee - Cannot be treated as being equivalent to any legal heir or a legatee entitled to the amount - Nominee is only a trustee after the account holder's demise and cannot take the place of account holder - He receives the payment not as a beneficiary to the amount - Amount paid to nominee thus, can be claimed by heirs in accordance with the law of..........
Civil Procedure Code, 1908, Order 39, Rule 1, 2, Specific Relief Act, 1963, Section 37, 38 -- Banking law - Law of injunction - Injunctions against negotiating banks for making payments to beneficiary must be given cautiously as constant judicial interference in normal practices of market can have disastrous consequences as it affects the trustworthiness of Indian banks..........
Civil Procedure Code, 1908, Order 7, Rule 11 -- Rejection of plaint - Injunction suit - Banking law - There is expression of mere apprehension of plaintiffs that Negotiating Banks were in active collusion with beneficiary - No explanation or justification has been made in plaint as to how this active collusion came about or what makes the plaintiff suspect so - No cause of..........
