Section 31(3) in The State Bank Of India (Subsidiary Banks) Act, 1959
(3)Any director elected under clause (d) of sub-section (1) of section 25, may be removed from office--(a)by the State Bank, [in consultation with the Reserve Bank and with the approval of the Central Government] [Substituted by Act 17 of 2011.], if at the time of the removal there are no shareholders other than the State Bank registered in the books of the subsidiary bank concerned;(b)by a resolution passed by a majority of the votes of such shareholders holding in the aggregate not less than one-half of the share capital held by all such shareholders:Provided that if the total amount of the holdings of all shareholders, other than the State Bank, registered in the books of the subsidiary bank, on the date of the resolution, is below five per cent., of the total issued capital, the resolution shall not have effect unless confirmed by the State Bank.
