Section 7(3) in The State Financial Corporations (Amendment) Act, 2000
(3)The Board may refuse to register the transfer of any shares in the name of the transferee on any one or more of the following grounds, and on no other ground, namely:-(a) the transfer of the shares is in contravention of the provisions of the Act or regulations made thereunder or any other law;(b)the transfer of the shares, in the opinion of the Board, is prejudicial to the interests of the Financial Corporation or to the public interest;(c)the transfer of shares is prohibited by an order of a court, tribunal or any other authority under any law for the time being in force.
