Section 45F of the Banking Regulation Act, 1949: Documents of Banking Company to Be Evidence
Section 45F is part of the special provisions governing the winding up of banking companies. It deals with the evidentiary use of entries in the books of account and other documents of a banking company that is being wound up, including proof through copies certified by the official liquidator.
Statutory text of Section 45F
45F. Documents of banking company to be evidence.
(1) Entries in the books of account or other documents of a banking company which is being wound up shall be admitted in evidence in all legal proceedings; and all such entries may be proved either by the production of the books of account or other documents of the banking company containing such entries or by the production of a copy of the entries, certified by the official liquidator under his signature and stating that it is a true copy of the original entries and that such original entries are contained in the books of account or other documents of the banking company in his possession.
(2) Notwithstanding anything to the contrary contained in the Indian Evidence Act, 1872 (1 of 1872), all such entries in the books of account or other documents of a banking company shall, as against the directors, officers and other employees of the banking company in respect of which the winding up order has been made, be prima facie evidence of the truth of all matters purporting to be therein recorded.
The wording above follows the current text published in the official India Code version of the Banking Regulation Act, 1949. Editorial amendment markers have been removed from the running text for readability; the amendment history is stated below.
What Section 45F means
Section 45F creates a special evidentiary rule for a banking company that is already under a winding-up order. Its purpose is practical: a liquidator should not be required to produce every original bank book or record in every proceeding when the law permits properly certified copies of entries to establish what the bank records contain.
1. Entries are admissible in legal proceedings
Sub-section (1) states that entries in the books of account or other documents of the banking company are admissible in all legal proceedings when the company is being wound up. The provision therefore addresses admissibility of the bank's records in the special context of winding up.
2. Original records or certified copies may be used
The entries may be proved either by producing the books or documents themselves or by producing copies certified by the official liquidator. For a certified copy to fall within the provision, the official liquidator must certify under signature that it is a true copy and that the original entry is contained in the books or documents of the banking company in the liquidator's possession.
3. Prima facie evidentiary value against specified persons
Sub-section (2) gives those entries prima facie evidentiary value, as against the directors, officers and other employees of the banking company, regarding the truth of matters recorded in them. "Prima facie evidence" means evidence sufficient on its face to support a fact unless rebutted or displaced by contrary material; it is not the same as making every entry conclusive proof.
Current evidence-law context after 1 July 2024
Key requirements under Section 45F
| Requirement | Effect |
|---|---|
| Banking company is being wound up | The special evidentiary rule under Section 45F becomes relevant in the winding-up context. |
| Entry is in books of account or another document of the banking company | The entry may be admitted in legal proceedings subject to the section. |
| Original record is produced | The entry may be proved directly from the bank's books or documents. |
| Certified copy is produced | The official liquidator must certify that the copy is true and that the original entry is in the records in the liquidator's possession. |
| Entry is relied on against directors, officers or other employees | The entry is prima facie evidence of the truth of the matter recorded, subject to rebuttal and the applicable law of evidence. |
Amendment history
The Banking Laws (Miscellaneous Provisions) Act, 1963 (Act 55 of 1963), with effect from 1 February 1964, made the important changes reflected in the present section:
- the expression referring only to proceedings by or against the banking company was replaced by the wider expression "legal proceedings";
- the words "officers and other employees" were inserted after directors; and
- the earlier words limiting the provision by reference to the commencement of the Banking Companies (Amendment) Act, 1953 were omitted.
Related provisions
Section 45F sits in Part IIIA of the Banking Regulation Act, 1949, which contains special provisions for speedy disposal of winding-up proceedings. Nearby provisions deal with settlement of debtors, calls on contributories, public examination of directors and auditors, assessment of damages and duties of directors and officers.
For the adjoining provisions, see Section 45E - Special provisions to make calls on contributories and Section 45G - Public examination of directors and auditors.
Official sources
For authoritative statutory text, refer to the Banking Regulation Act, 1949 on India Code. For the current general law of evidence, refer to the Bharatiya Sakshya Adhiniyam, 2023 on India Code.
Disclaimer: This page is an informational summary of the statutory provision and is not legal advice. Always verify the current text, amendments, applicable procedural law and the facts of the particular proceeding.