The Banking Regulation Act, 1949 section 3: Subs. by Act 4 of 2013, s. 11, for "…

In force · As amended up to 2026-08

3. Subs. by Act 4 of 2013, s. 11, for "fifty thousand rupees" (w.e.f. 18-1-2013). 3. Cls. (zd) and (zf) omitted by s. 4, ibid. (w.e.f. 1-4-2021). 4. Subs. by s. 4, ibid., for clause (zg) (w.e.f. 1-4-2021). 5. Cl. (zh) omitted by s. 4, ibid. (w.e.f. 1-4-2021). 6. Subs. by s. 4, ibid., for clause (zj) (w.e.f. 1-4-2021). 7. Ins. by Act 61 of 1981, s. 61 and II Sch. (w.e.f. 1-5-1982). (zl) for the Third Schedule and the Fourth Schedule, the following Schedule shall be substituted, namely:— THE THIRD SCHEDULE ( See section 29) 1[FORM A FORM OF BALANCE SHEET Balance Sheet of ____________________(here enter name of the Banking Company) Balance Sheet as on 31st March _________________________(Year) |||(000's omitted) As on 31-3— (previous year) ___________| |---|---|---| |Capital and Liabilities Schedule Capital Reserves and surplus Deposits Borrowings Other liabilities and provisions TOTAL: 1 2 3 4 5 ASSETS Cash and Balances with Reserve Bank of India Balances with Banks and money at call and short notice Investments Advances Fixed Assets Other Assets TOTAL: Contingent liabilities Bill for collection 6 7 8 9 10 11 12|As on 31-3— (current year) ___________|| |||| |||| 1. Subs. by S.O. 240 (E), dated 26th March, 1992 (w.e.f. 26-3-1992). SCHEDULE I—CAPITAL |(zl) for the Third Schedule and the Fourth Schedule, the following Schedule shall be substituted, amely:—|(zl) for the Third Schedule and the Fourth Schedule, the following Schedule shall be substituted, amely:—|(zl) for the Third Schedule and the Fourth Schedule, the following Schedule shall be substituted, amely:—|(zl) for the Third Schedule and the Fourth Schedule, the following Schedule shall be substituted, amely:—|(zl) for the Third Schedule and the Fourth Schedule, the following Schedule shall be substituted, amely:—| |---|---|---|---|---| |"THE THIRD SCHEDULE (_see_section 29) FORM A FORM OF BALANCE-SHEET||||| |CAPITAL AND LIABILITIES||PROPERTY AND ASSETS||| |1. CAPITAL: (i) Authorised Capital ……Shares of Rs…….each …….Shares of Rs. …Each (ii) Subscribed Capital ................Shares of Rs.........................each ....................Shares of Rs.........................each ....................................................................... (iii) Amount called up On.......Shares at Rs.................each less called unpaid On.........Shares at Rs.................each less called unpaid of ………… (iii) above, held by (a) Individuals ............... (b) Co-operative institutions ............... (c) State Government............... 2. RESERVE FUND AND OTHER RESERVES: (i) Statutory Reserve………… (ii) Agricultural (Credit Stabilization Fund)…… (iii) Building Fund……………………. (iv) Dividend Equalization Fund………….. (v) Special Bad Debts Reserve…………… (vi) Bad and Doubtful Debts Reserve…………. (vii) Investment Depreciation Reserve……… (viii) Other Funds and Reserves (to be specified) 3. PRINCIPAL/SUBSIDIARY STATE PARTNERSHIP FUND ACCOUNT: For share capital of: (i) Central co-operative banks (ii) Primary agricultural credit societies........... (iii) Other societies.............................. 4. DEPOSITS AND OTHER ACCOUNTS: (i) Fixed deposits*………………………… (a) Individuals……………………. (b) Central co-operative banks………… (c) Other societies…………………. (ii) Savings Bank Deposits……………… (a) Individuals…………………….. (b) Central co-operative banks…………… (c) Other societies.............||Rs. P. Rs. P 1. CASH: In hand with Reserve Bank 1[National Bank] State Bank of India, State Co-operative Bank and Central Co-operative Bank…. 2. BALANCES WITH OTHER BANKS: (i) Current deposits…… (ii) Savings bank deposits …. (iii) Fixed deposits……….. 3. MONEY AT CALL AND SHORT NOTICE 4. INVESTMENTS: (i) In Central and State Government securities (at book value)……………………….. Face value Rs. ............... Market value Rs. ............... (ii) Other Trustee securities……. (iii) Shares in co-operative institutions other than in item (5) below.................... (iv) Other investments (to be specified) .................... 5. INVESTMENT OUT OF THE PRINCIPAL /SUBSIDIARY STATE PARTNERSHIP FUNDS: In shares of: (i) Central co-operative banks…... (ii) Primary agricultural credit societies…………………… … (iii) Other societies…………….. 6. ADVANCES†:. (i) Short-term loans, cash credits, overdrafts and bills discounted………. Of which secured against: (a) Government and other approved securities……….. (b) Other tangible securities@ of the advances, amount due from individuals………………….. Of the advances, amount overdue Considered bad and doubtful of recovery. (ii) Medium-term loans Of which secured against:|Rs. .P. Rs. P.|| |||||| |||||| |||||| 3. Sub-clause (iv) renumbered as sub-clause (v) by s. 42, ibid . (w.e.f. 15-2-1984). ||As on 31-3— As on 31-3—| |---|---| ||(current year) (previous year)| |I. FOR NATIOINALISED BANKS|| |Capital (Fully owned by Central Government)|_________| |II. FOR BANKS INCORPORATED OUTSIDE INDIA|| |Capital|| |(i) (The amount brought in by banks by way of|| |Start-up capital as prescribed by RBI should be|| |shown under this head)|| |(ii) Amount of deposit kept with the RBI|| |under Section 11(2) of the Banking Regulation Act, 1949.|| |TOTAL:|| |III. FOR OTHER BANKS|| |Authorised Capital (Shares of Rs. each)|| |Issued Capital (Shares of Rs. each)|| |Subscribed Capital (Shares of Rs. each)|| |Called-up Capital (Shares of Rs. each)|| |Less : Calls unpaid|| |Add : Forfeited shares|| |SCHEDULE 2—RESERVES AND|SURPLUS| ||As on 31-3— As on 31-3—| ||(current year) (previous year)| |I. Statutory Reserves|| |Opening Balance|| |Additions during the year|| |Deductions during the year|| |II. Capital Reserves|| |Opening Balance|| |Additions during the year|| |Deductions during the year|| |III. Share premium|| |Opening Balance|| |Additions during the year|| |Deductions during the year|| |IV. Revenue and other Reserves|| |Opening Balance|| Additions during the year Deductions during the year V. Balance of Profit and Loss Account ____________ ____________ TOTAL : (I, II, III, IV and V) ____________ ____________ SCHEDULE 3—DEPOSITS As on 31-3— As on 31-3— (current year) (previous year) A. I. Demand Deposits (i) From banks (ii) From others II. Savings Bank Deposits (5) (a) Without prejudice to the provisions of sub-section (3), the Reserve Bank may require a banking company to furnish to it a return in the form and manner specified by it showing particulars of its assets maintained in accordance with this section and its demand and time liabilities in India, as at the close of business on each day of a month; and (b) without prejudice to the provisions of sub-section (4), on the failure of a banking company to maintain as on any day, the amount so required to be maintained by or under[5] * sub-section (2A) the Reserve Bank may, in respect of such default, require the banking company to pay penal interest for that day as provided in clause (a) of sub-section (4) and if the default continues on the next succeeding working day, the penal interest may be increased as provided in clause (b) of sub-section (4) for the concerned days. 3. (a) In every such list, the official liquidator shall distinguish between the debts for which the banking company holds and security other than a personal security and the debts for which no security or only a personal security is given; (b) In the case of secured debts, particulars of the securities claimed by the banking company, and whenever possible their estimated value, and the names and addresses of person or persons, if any, having an interest in the securities or the right of redemption therein; (c) In case the debt is guaranteed by any person or persons, the name and address of the guarantor or guarantors with particulars as to the extent to which the debt is guaranteed and description of documents, papers or writings in support of such guarantee. 1. Ins. by Act 61 of 1981, s. 61 and Sch. II (w.e.f. 1-5-1982). III. Term Deposits (i) From banks (ii) From others ____________ ____________ TOTAL : (I, II, III) ____________ B. (i) Deposits of branches in India (ii) Deposits of branches outside India ________ ____________ TOTAL SCHEDULE 4—BORROWINGS As on 31-3— As on 31-3— (current year) (previous year) I. Borrowing in India (i) Reserve Bank of India (ii) Other banks (iii) Other institutions and agencies II. Borrowings outside India ____________ ____________ TOTAL : (I and II) ___________ ____________ Secured borrowings included in I and II above—Rs. SCHEDULE 5 —OTHER LIABILITIES AND PROVISIONS As on 31-3— As on31-3— (current year) (previous year) I. Bills payable II. Inter-office adjustments (net) III. Interests accrued IV. Others (Including provisions) ____________ ____________ TOTAL : ____________ ____________ SCHEDULE 6—CASH AND BALANCES WITH RESERVE BANK OF INDIA As on 31-3— As on 31-3— (current year) (previous year) I. Cash in hand (Including foreign currency notes) II. Balance with Reserve Bank of India (i) in Current Account (ii) in other Accounts ____________ ____________ ____________ TOAL : (I and II) ____________ SCHEDULE 7—BALANCES WITH BANKS AND MONEY AT CALL AND SHORT NOTICE As on 31-3— As on 31-3— (current year) (previous year) I. In India (i) Balances with banks (a) In Current Accounts (b) In Other Deposit Accounts (ii) Money at call and short notice (a) With banks (6) (a) The penalty payable under sub-section (4) and sub-section (5) shall be paid within a period of fourteen days from the date on which a notice issued by the Reserve Bank demanding payment of the same is served on the banking company and in the event of failure of the banking company to pay the same within such period, the penalty may be levied by a direction of the principal civil court having jurisdiction in the area where an office of the defaulting banking company is situated, such direction to be made only upon an application made by the Reserve Bank in this behalf to the court; and (b) when the court makes a direction under clause (a), it shall issue a certificate specifying the sum payable by the banking company and every such certificate shall be enforceable in the same manner as if it were a decree made by the court in a suit. 1. Sub-section (2B) omitted by Act 17 of 2007, s. 2 (w.e.f. 23-1-2007). 2. Subs. by Act 1 of 1984, s. 26, for sub-section (3) (w.e.f. 29-3-1985). 3. Subs. by Act 16 of 2025, s. 7, for "each alternate Friday during the month, or if any such Friday" (w.e.f. 15-12-2025). 4. Subs. by s. 7, for ibid ., for "any alternate Friday or, if such Friday" (w.e.f. 15-12-2025). 5. The words, brackets and letter "clause (a) of" omitted by Act 4 of 2013, s. 7 (w.e.f. 18-1-2013). 6. Subs. by Act 16 of 2025, s. 7, for clause (b) (w.e.f. 15-12-2025). 3. Every shareholder of the acquired bank to whom the compensation is payable, shall be given such amount as compensation as bears to the total compensation, calculated in accordance with the provisions of paragraph 1, the same proportion as the amount of paid-up capital of the shares held by the shareholder bears to the total-up capital of the acquired bank. CERTAIN DIVIDENDS NOT TO BE TAKEN INTO ACCOUNT |CAPITAL AND LIABILITIES PROPERTY AND ASSETS|| |---|---| |(iii) Current deposits……….. (a) Individuals……………………….. (b) Central co-operative banks………….. (c) Other societies……………………… (iv) Money at call and short notice…………. 5. BORROWINGS†: (i) From the Reserve Bank of India 1[the National Bank]/State/Central co-operative bank: (a) Short-term loans, cash credits and overdrafts……….. Of which secured against: (A) Government and other approved securities. (B) Other tangible securities@................... (b) Medium-term loans of which secured against: (A) Government and other approved securities. (B) Other tangible securities@....................... (c) Long-term loans Of which secured against: (A) Government and other approved securities (B) Other tangible securities@........................ (ii) From the State Bank of India (a) Short-term loans, cash credits and overdrafts……………………. Of which secured against: (A) Government and other approved securities. (B) Other tangible securities@.................... (b) Medium-term loans Of which secured against (A) Government and other approved securities (B) Other tangible securities@ (c) Long-term loans Of which secured against: (A) Government and other approved securities. (B)Other tangible securities@.................... Rs. P. Rs. P (a) Government and other approved securities (b) Other tangible securities@ Of the advances, amount due from individuals†.................... Of the advances, amount overdue:...................................... Considered bad and doubtful of recovery.................................... (iii) long-term loans Of which secured against: (a) government and other approved securities………………… (b) other tangible securities@ Of the advances, amount due from individuals..................... Of the advances, amount overdue: Considered bad and doubtful of recovery……………… 7. INTEREST RECEIVABLE: Of which overdue Considered bad and doubtful of recovery 8. BILLS RECEIVABLE BEING BILLS FOR COLLECTION AS per contra…………………. 9. BRANCH ADJUSTMENTS…... 10. PREMISES LESS DEPRECIATION……... 11. FURNITURE AND FIXTURES LESS DEPRECIATION. 12. OTHER ASSETS (to be specified)……………………. 13. NON-BANKING ASSETS ACQUIRED IN SATISFACTION OF CLAIMS (stating mode of valuation)……. 14. PROFIT AND LOSS …………|Rs. P. Rs. P| (b) With other institutions ____________ ____________ TOTAL : (I and II) ____________ ____________ II. Outside India (i) in Current Accounts (ii) in Other Deposit Accounts (iii) Money at call and short notice ____________ ____________ TOTAL : (I, II and III) ____________ ____________ ____________ ____________ GRAND TOTAL : (I and II) ____________ ____________ SCHEDULE 8—INVESTMENTS As on 31-3— As on 31-3— (current year) (previous year) I. Investments in India in (i) Government Securities (ii) Other approved securities (iii) Shares (iv) Debentures and Bonds (v) Subsidiaries and/or joint ventures (vi) Others (to be specified) ____________ ____________ TOTAL : - II. Investments outside India in (i) Government securities (Including local authorities) (ii) Subsidiaries and/or joint ventures abroad (iii) Other investments (to be specified) ____________ Total : ____________ GRAND TOTAL : (I and II) ____________ ____________ SCHEDULE 9—ADVANCES As on 31-3__ As on 31-3__ current year) (previous year) (7) When under the provisions of clause (b) of sub-section (4), penal interest at the increased rate of five per cent. above the bank rate has become payable by a banking company, if thereafter the amount required to be maintained on the[1] [last day of the next succeeding fortnight, or if the last day of such fortnight is a public holiday], the next preceding working day, is still below the prescribed minimum, every director, manager or secretary of the banking company, who is knowingly and wilfully a party to the default, shall be punishable with fine which may extend to five hundred rupees and with a further fine which may extend to five hundred rupees for each[2] [last day of every subsequent fortnight] or the preceding working day, as the case may be, on which the default continues. (8) Notwithstanding anything contained in this section, if the Reserve Bank is satisfied, on an application in writing by the defaulting banking company, that the banking company had sufficient cause for its failure to comply with the provisions of[3] * sub-section (2A), the Reserve Bank may not demand the payment of the penal interest. Explanation .—In this section, the expression "public holiday" means a day which is a public holiday under the Negotiable Instruments Act, 1881 (26 of 1881).] 1. Ins. by Act 61 of 1981, s. 61 and Sch. II (w.e.f. 1-5-1982). |CAPITAL AND LIABILITIES PROPERTY AND ASSETS|CAPITAL AND LIABILITIES PROPERTY AND ASSETS| |---|---| |(iii) From the State Government (a) Short-term loans Of which secured against (A) Government and other approved securities. (B) Other tangible securities@................ (b) Medium-term loans Of which secured against: (A) Government and other approved securities….. (B) Other tangible securities@............ (c) Long-term loans Of which secured against: (A) Government and other approved securities. (B) Other tangible securities@............... (iv) Loan from other sources (source and security to be specified) 6.BILLS FOR COLLECTION BEING BILLS RECEIVABLE As per contra………………… 7. BRANCH ADJUSTMENTS…………….. 8. OVERDUE INTEREST RESERVE……. 9. INTEREST PAYABLE ……………. 10. OTHER LIABILITIES (i) Bills payable…………. (ii) Unclaimed dividends…………. (iii) Suspense. . . . . .. (iv) Sundries . . . . . .. 11. PROFIT AND LOSS Profit as per last balance-sheet _Less_appropriations Add profit for the year brought from the Profit and Loss Account Total . . . . . . . . CONTINGENT LIABILITIES (i) Outstanding liabilities for guarantees issued………………….. (ii) Others ………….. Total. . . . . ..|Rs. P. Rs. P Total . . . . . . . . Rs. P. Rs. P| ||NOTES| ||current year) (previous year)| |---|---| |A. (i) Bills purchased and discounted|| |(ii) Cash credits, overdrafts and loans repayable on demand|| |(iii) Term loans|| |TOTAL : B. (i) Secured by tangible assets|____________ ____________ ____________ ____________| |(ii) Covered by Bank/Government Guarantees|| |(iii) Unsecured TOTAL :|| ||____________ ____________ ____________ ____________| C. I. Advances in India (i) Priority sectors (ii) Public sector (iii) Banks (iv) Others ____________ ____________ TOTAL : II. Advances Outside India (i) Due from banks (ii) Due from others (a) Bills purchased and discounted (b) Syndicated loans (c) Others ____________ ____________ TOTAL : ________ ___________ ____________ ____________ GRAND TOTAL : (C.I. & C.II) ____________ ____________ SCHEDULE 10—FIXED ASSETS As on 31-3— As on 31-3— (current year) (previous year) I. Premises At cost as on 31st March of the preceding year Additions during the year Deductions during the year Depreciation to date II. Other Fixed Assets (including furniture and fixtures) At cost as on 31st March of the preceding year Additions during the year Deductions during the year Depreciation to date TOTAL : (I and II) ____________ ____________ ____________ ____________ SCHEDULE 11—OTHER ASSETS As on 31-3— As on 31-3— (current year) (previous year) I. Inter-office adjustment (net) - II. Interest accrued *"Fixed deposits" will include reserve fund deposits of societies, employees provident fund deposits, staff security deposits, recurring deposits, cash certificates, etc. Under the item "individuals" deposits from institutions other than cooperative banks and societies may be included. † "Borrowings" and "Advances".—Short-term loans will be for periods up to 15 months, medium-term loans from 15 months to 5 years and long-term loans over 5 years. @ "other tangible security" will include borrowings against gold and gold ornaments, repledge of goods, mortgage of land, etc. General Instructions.— The corresponding figures (to the nearest rupees, if so desired) for the year immediately preceding the year to which the balance-sheet relates should be shown in separate columns. FORM B FORM OF PROFIT AND LOSS ACCOUNT Profit and loss account for the year ended EXPENDITURE Rs. P. Rs. P. 1. Interest on deposits, borrowings, etc. . . . 2. Salaries and allowances and provident fund. . . . . . . . . . 3. Directors and local committee members' fees and allowances. 4. Rent, taxes, insurance, lighting, etc. . . 5. Law charges. . . . . . . 6. Postage, telegrams and telephone Charges……. 7. Auditor's fees . . . . . . . 8. Depreciation on and repairs in property III. Tax paid in advance/tax deducted at source - IV. Stationery and stamps - V. Non-banking assets acquired in satisfaction of claims VI. Others* ____________ ____________ TOTAL : ____________ ____________ *In case there is any unadjusted balance of loss the same may be shown under this item with appropriate foot-note. SCHEDULE 12—CONTINGENT AVAIBILITIES As on 31-3__ As on 31-3__ (current year) (previous year) I. Claims against the bank not acknowledged as debts II. Liability for partly paid investments III. Liability on account of outstanding forward exchange contracts IV. Guarantees given on behalf of constituents (a) In India (b) Outside India - V. Acceptances, endorsements and other obligations VI. Other items for which the bank is contingently Liable ____________ ____________ TOTAL : ____________ ____________ FORM B (000's omitted) FORM OR PROFIT AND LOSS ACCOUT FOR THE YEAR ENDED ON 31ST MARCH (YEAR) |I. INCOME Interest earned Other Income TOTAL : II. EXPENDITURE Interest expended|Schedule No. 13 14 15 16|Year ended 31-3— (current year) Year ended 31-3— (previous year)| |---|---|---| |||| |||| Operating expenses Provisions and contingencies TOTAL : III. PROFIT/LOSS Net Profit/Loss (-) for the year Profit/Loss (-) brought forward TOTAL : IV. APPROPRIATIONS Transfer to statutory reserves Transfer to other reserves Transfer to Government/proposed dividend Balance carried over to balance sheet TOTAL : SCHEDULE 13—INTEREST EARNED Year ended on Year ended on 31-3__ 31-3__ (current year) (previous year) - I. Interest/discount on advance/bills II. Income on investments III. Interest on balances with Reserve Bank of India and other inter-bank funds IV. Others ______________ ______________ TOTAL : ______________ ______________ SCHEDULE 14—OTHER INCOME Year ended on Year ended on 31-3— 31-3— (current year) (previous year) - I. Commission, exchange and brokerage - II. Profit on sale of investments Less : Loss on sale of investments - III. Profit on revaluation of investments Less : Loss on revaluation of investments - IV. Profit on sale of land, buildings and other assets ==> picture [458 x 212] intentionally omitted <== ||SCHEDULE 15—INTEREST EXPENDED Year ended on Year ended on 31-3__ 31-3__ (current year) (previous year)| |---|---| |I. Interest on deposits|| |II. Interest on Reserve Bank of India/ inter-back borrowings|| |III. Others TOTAL : ______________ ______________ ______________ ______________|| ||SCHEDULE 16—OPERATING EXPENSES| ||Year ended on Year ended on| ||31-3......... 31-3.................| ||(current year) (previous year)| |I.|Payments to and provisions for employees| |II.|Rent, taxes and lighting| |III.|Printing and stationery| |IV.|Advertisement and publicity| |V.|Depreciation on bank's property| |VI.|Director's fees, allowances and expenses| |VII.|Auditors' fees and expenses (Including branch auditors)| |VIII.|Law Charges| |IX.|Postages, Telegrams, Telephones, etc.| |X.|Repairs and maintenance| |XI.|Insurance| |XII.|Other expenditure| ||____________ ____________| TOTAL : ______________ __________ 1[THE FOURTH SCHEDULE [ See section 45D(2)] LIST OF DEBTORS

Source: India Code

Section 3. Subs. by Act 4 of 2013, s. 11, for "fifty thousand rupees" (w.e.f. 18-1-2013)

How this section changed