Section 45O of Banking Regulation Act - Special period of limitation

Section 45O of Banking Regulation Act 1949: Special period of limitation

(1) Notwithstanding anything to the contrary contained in the Indian Limitation Act, 1908 (9 of 1908) or in any other law for the time being in force, in computing the period of limitation prescribed for a suit or application by a banking company which is being wound up, the period commencing from the date of the presentation of the petition for the winding up of the banking company shall be excluded.

(2) Notwithstanding anything to the contrary contained in the Indian Limitation Act, 1908 (9 of 1908) or *[section 543 of the Companies Act, 1956 (1 of 1956)] or in any other law for the time being in force, there shall be no period of limitation for the recovery of arrears of calls from any director of a banking company which is being wound up or for the enforcement by the banking company against any of its directors of any claim based on a contract, express or implies; and in respect of all other claims by the banking company against its directors, the period of limitation shall be twelve years from the date of the accrual of such claims **[or five years from the date of the first appointment of the liquidator, whichever is longer].

 


(3) The provisions of this section, in so far as they relate to banking companies being wound up, shall also apply to a banking company in respect of which a petition for the winding up has been presented before the commencement of the Banking Companies (Amendment) Act, 1953 (52 of 1953).

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* Subs. by Act 95 of 1956, s. 14 and the Schedule, for "section 235 of the Indian Companies Act, 1913 (7 of 1913)" (w.e.f. 14-1-1957)

** Ins. by Act 33 of 1959, s. 32 (w.e.f. 1-10-1959)