Section 9(5) in The Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980
(5)[ On and from the date of coming into operation of a scheme made under this section with respect to any of the matters referred to in clause (c) of sub-section (2) or any matter incidental, consequential and supplemental thereto,-(a)the scheme shall be binding on the corresponding new bank or corporations or banking institutions, and also on the members, if any, the depositors, and other creditors and employees of each of them and on any other person having any right or liability in relation to any of them including the trustees or other persons, managing or in any other manner connected with, any provident fund or other fund maintained by any of them;(b)the properties and assets of the corresponding new bank, or, as the case may be, of the banking institution shall, by virtue of and to the extent provided in the scheme, stand transferred to, and vested in, and the liabilities of the corresponding new bank or, as the case may be, of the banking institution shall, by virtue of, and to the extent provided in the scheme, stand transferred to, and become the liabilities of, the corporation or corporations brought into existence by reconstitution of the banking institution or the corresponding new bank, as the case may be.][Explanation I.] [Explanation renumbered as Explanation I by Act 66 of 1988, Section 36 (w.e.f. 30.12.1988).]-In this section, "banking institution" means a banking company and includes the State Bank of India or a subsidiary bank.[Explanation II.-For the purposes of this section, the expression "corresponding new bank" shall include a corresponding new bank within the meaning of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970).] [Inserted by Act 66 of 1988, Section 36 (w.e.f. 30.12.1988). ]
