Section 115A in The Gujarat Co-Operative Societies Act, 1961
115A. Order for winding up, reconstruction, supersession of committee, etc. of insured co-operative bank not to be made without sanction or requisition of Reserve Bank of India.
- Notwithstanding anything contained in this Act, in the case of an insured co-operative bank,-(1)an order for winding up or an order sanctioning a scheme of compromise or arrangement or of amalgamation or reconstruction (including division or reorganisation) of the bank may be made only with the previous sanction in writing of the Reserve Bank of India;(2)an order for the winding up of the bank shall be made by the Registrar if so required by Reserve Bank of India in the circumstances referred to in Section 13-D of the Deposit Insurance Corporation Act, 1961 (47 of 1961);[(2-A) Notwithstanding anything contained in this Act or the rules made thereunder, the Registrar shall ensure the implementation of regulatory prescription given by the Reserve Bank of India including supersession and winding up of the State Co-operative Bank and the Central Co-operative Bank and shall appoint the liquidator within a period of one month of being so advised by the Reserve Bank of India.] [Inserted by Gujarat 1 of 2008, Sec. 25 (w.e.f. 8.10.2007).](3)if so required by the Reserve Bank of India in the public interest or for preventing the affairs of the bank being conducted in a manner detrimental tothe interests of the depositors or for securing the proper management of the bank, an order shall be made by the Registrar for supersession of the committee and the appointment of an administrator in place thereof for such period or periods, not exceeding five years in the aggregate, as may from time to time be specified by the Reserve Bank of India, and the administrator so appointed shall, after the expiry of his term of office, continue in office until the day immediately preceding the date of the first meeting of the new committee of such bank;(4)an order for winding up of the bank or an order sanctioning a scheme of compromise or arrangement or of amalgamation or reconstruction including division or reorganisation) or an order for the supersession of the committee of the bank and the appointment of an administrator in place thereof made with the previous sanction in writing or on the requisition of the Reserve Bank of India shall be final and shall not be liable to be called in question in any manner in any Court; and(5)the liquidator or such bank or the transferee bank, as the case may be, shall be under an obligation to pay the Deposit Insurance Corporation established under the Deposit Insurance Corporation Act, 1961 (47 of 1961), in the circumstances, to the extend and in the manner referred to in Section 21 of that Act.Explanation. - In this section,-(a)the expression "insured co-operative bank" means a society which is an insured bank under the provisions of the Deposit Insurance Corporation Act, 1961 (47 of 1961);(b)the expression "transferee bank" in relation to an insured co-operative bank means a co-operative bank-(i)with which such insured co-operative bank is amalgamated, or(ii)to which the assets and liabilities of such insured co- operative bank are transferred, or(iii)into which such insured co-operative bank is divided or converted, under sub-section (1) of Section 17.][Chapter X-B] [Inserted by Gujarat Co-operative Societies (Amendment) Ordinance, 2002, w.e.f. 22.1.2002, and replaced by Section. 2 of the Gujarat Co-operative Societies (Amendment) Act, 2002 (13 of 2002) by repealing Ordinance No. 1 of 2002, published in the Gujarat Gazette Extraordinary, Part 4, No. 14, dated 6.4.2002, p. 14-1] Certain Other Provisions Relating to Urban Co-Operative Banks
