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Section 45P of the Banking Regulation Act, 1949: RBI Advice in Winding Up Proceedings

Section 45P forms part of Part IIIA of the Banking Regulation Act, 1949, which contains special provisions relating to the speedy disposal of winding-up proceedings concerning banking companies.

Legal position reviewed: September 2026. Readers should verify the latest official text before relying on any statutory provision.

What Section 45P provides

Where, in a proceeding for the winding up of a banking company, a person other than the Reserve Bank of India has been appointed as the official liquidator, the High Court may direct that official liquidator to obtain the advice of the Reserve Bank on a matter connected with the proceeding.

When such a direction is made, the Reserve Bank may examine the record of the winding-up proceeding and tender such advice on the matter as it considers appropriate.

Meaning and scope of Section 45P

Section 45P recognizes the specialised supervisory and banking expertise of the Reserve Bank of India in the winding up of a banking company. The provision becomes relevant where the official liquidator is a person other than the Reserve Bank and the High Court considers RBI advice useful on a matter arising in the winding-up proceeding.

  • Winding-up proceeding: The section applies in proceedings concerning the winding up of a banking company.
  • Official liquidator: It specifically contemplates a situation in which a person other than the Reserve Bank has been appointed as official liquidator.
  • Direction of the High Court: The official liquidator obtains RBI advice when the High Court directs it to do so.
  • Examination of record: The Reserve Bank is authorised to examine the record of the relevant proceeding.
  • Advice by RBI: After examining the record, the Reserve Bank may tender such advice on the referred matter as it thinks fit.

Why the provision matters

The winding up of a banking company can involve questions affecting depositors, creditors, assets, banking records and regulatory concerns. Section 45P enables the High Court and the official liquidator to obtain the benefit of RBI's institutional expertise when the Court considers such advice necessary or useful.

Relationship with Part IIIA

Section 45P appears in Part IIIA of the Banking Regulation Act, 1949. Part IIIA contains special provisions intended to facilitate and regulate winding-up proceedings involving banking companies. Section 45P should therefore be read in the context of the neighbouring provisions dealing with limitation, inspection, information, assistance to liquidators and enforcement of High Court orders.

Official statutory reference

For the authoritative and updated statutory text, refer to the official India Code version of the Banking Regulation Act, 1949.

Note: This page is a general legal information resource. Statutory provisions may be amended, substituted, omitted or affected by later legislation and judicial decisions. Always check the current official text and obtain professional advice for a specific matter.