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Home › Indian Laws › Banking Regulation Act, 1949 › Section 36ACA
Banking Regulation Act, 1949 · Section guide

Section 36ACA: Supersession of Board of Directors in certain cases

Reviewed by CA Nikhil Gupta · Last reviewed 18 September 2026

Section 36ACA — Supersession of Board of Directors in certain cases. Creates the statutory route for supersession of a banking company’s board in the specified circumstances, appointment of an administrator and related committee/management arrangements; the RBI order and period govern the intervention.

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

Creates the statutory route for supersession of a banking company’s board in the specified circumstances, appointment of an administrator and related committee/management arrangements.

Condition / limitation

the RBI order and period govern the intervention.

Source and effective-date control

Apply the wording of Section 36ACA that was in force on the event date; use the official Act and any applicable commencement/amending instrument linked on this page.

Professional application

supersession grounds, duration/extension, consultation, administrator/advisory arrangements and reconstitution process.

Working flow

Identify the bank/entity class, event date and the factual trigger for Supersession of Board of Directors in certain cases.
Apply the core Section 36ACA rule: Creates the statutory route for supersession of a banking company’s board in the specified circumstances, appointment of an administrator and related committee/management arrangements.
Test the next condition or limitation: the RBI order and period govern the intervention.
Reconcile any amount, period, approval, filing or return mentioned in Section 36ACA with the supporting record.
Record the conclusion, official source used, effective date and evidence that proves the statutory condition was met or not met.

Evidence / working-paper checklist

  • Section 36ACA evidence: board and committee composition register.
  • Section 36ACA evidence: fit-and-proper / experience / conflict declarations.
  • Section 36ACA evidence: appointment, removal or RBI approval correspondence.
  • Section 36ACA 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 36ACA, avoid counting titles instead of checking statutory experience/independence conditions.
  • For Section 36ACA, avoid implementing an appointment before a required RBI approval takes effect.
  • For Section 36ACA, avoid failing to record conflicts, abstentions or tenure calculations.

Related sections inside the Act

Section 36AB — RBI power to appoint additional directorsSection 36AC — Part IIA to override other lawsSection 36AD — Punishments for certain activities in relation to banking companiesSection 36AE — Central Government power to acquire undertakings of banking companies in certain cases

Use these links to read Section 36ACA 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 36ACA 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 36ACA 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.