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Home › Indian Laws › Banking Regulation Act, 1949 › Section 10BB
Banking Regulation Act, 1949 · Section guide

Section 10BB: Power of Reserve Bank to appoint Chairman / managing director

Reviewed by CA Nikhil Gupta · Last reviewed 18 September 2026

Section 10BB — Power of Reserve Bank to appoint Chairman / managing director. Empowers RBI to fill the chairman/managing-director position where the statutory situation. Arises; the appointment carries the Act’s terms rather than merely the company’s private service terms.

Official statute linkedProvision-specific anatomyPractical case + evidence file
Official text: DFS consolidated Act

Statutory structure and provision map

This map is a provision-specific explanation, not a substitute for the exact statutory text.

Core statutory rule

Empowers RBI to fill the chairman/managing-director position where the statutory situation arises.

Condition / limitation

the appointment carries the Act’s terms rather than merely the company’s private service terms.

Source and effective-date control

Apply the wording of Section 10BB that was in force on the event date; use the official Act and any applicable commencement/amending instrument linked on this page.

Professional application

Detail RBI appointment trigger, terms and relationship to existing management; separate it from Section 36AB.

Evidence / working-paper checklist

  • Section 10BB evidence: board and committee composition register.
  • Section 10BB evidence: fit-and-proper / experience / conflict declarations.
  • Section 10BB evidence: appointment, removal or RBI approval correspondence.
  • Section 10BB evidence: minutes recording abstention, approval and effective dates.

Retain the event date and source version with the file so the conclusion remains reproducible after later amendments.

Common mistakes to avoid

  • For Section 10BB, avoid counting titles instead of checking statutory experience/independence conditions.
  • For Section 10BB, avoid implementing an appointment before a required RBI approval takes effect.
  • For Section 10BB, avoid failing to record conflicts, abstentions or tenure calculations.

Related sections inside the Act

Section 10A — Board of directors to include persons with professional or other experienceSection 10B — Banking company to be managed by whole-time chairmanSection 10C — Chairman and certain directors not required to hold qualification sharesSection 10D — Sections 10A and 10B to override other laws, contracts, etc.Section 36AB — contextual cross-reference

Use these links to read Section 10BB in its statutory sequence, especially where the provision imports definitions, approvals, appeals, penalties or winding-up consequences from neighbouring sections.

Current-law source control

Source control: Section 10BB is anchored to the official DFS consolidated text; later changes require separate Gazette verification.

Dated matters: verify any later Gazette, RBI direction or binding judgment affecting Section 10BB on the event date.

Disclaimer

This Finin2min page is an educational and professional reference. Banking regulation is fact-, entity- and date-sensitive. Verify the current Act, Gazette amendments and commencement notifications, applicable RBI Rules/directions and the transaction record before acting or filing.