Section XL. And it is hereby enacted, that it shall be lawful for the Bank of Madras, with the sanction of the G

XL. And it is hereby enacted, that it shall be lawful for the Bank of Madras, with the sanction of the Governor in Council of Madras, and with the approbation of the Court of Directors of the East India Company, to establish Branch Banks at such places, and under such rules and restrictions as shall be determined by the Proprietors at their General Meetings. Provided however that such Branch Banks when so established, besides being subject to the rules and restrictions that may be imposed by the Proprietors, and to the control and orders of the Directors of the Bank of Madras, shall be bound by the same rules as to the description of business in which they are to engage, and the manner of conducting such business, and likewise in respect to the issue of Notes payable on demand, and the retention of Cash to meet the same, and in all transactions and matters herein above referred to, as are prescribed for the Bank of Madras by this Act.