Currency Act, 1927

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Admission of Shareholding Banks after the first such Banks.

40.—(1) Any Bank may apply to the Commission at any time after the establishment of the Commission to be admitted to be a Shareholding Bank and the Commission may in its absolute discretion grant or refuse such application but no such application shall be granted within five years after the establishment of the Commission otherwise than by unanimous vote of the Commission.

(2) Whenever the Commission grants an application by a Bank to be admitted to be a Shareholding Bank, such Bank shall as on and from the date on which such application is granted become and be a Shareholding Bank for the purposes of this Act.

(3) The Commission may require a Bank applying under this section to be admitted to be a Shareholding Bank to furnish to the Commission such information in relation to its business and to permit the Chairman or a permanent officer of the Commission specially authorised in that behalf in writing by the Chairman to make such inspection of its books as appears to the Commission to be necessary for the due consideration of such application by the Commission.