What is Reserve fund? Section 45 IC of Reserve Bank of India Act 1934
(1) Every non-banking financial company shall create a reserve fund and transfer therein a sum not less than twenty per cent of its net profit every year as disclosed in the profit and loss account and before any dividend is declared.
(2) No appropriation of any sum from the reserve fund shall be made by the non-banking financial company except for the purpose as may be specified by the Bank from time to time and every such appropriation shall be reported to the Bank within twenty-one days from the date of such withdrawal :
Provided that the Bank may, in any particular case and for sufficient cause being shown, extend the period of twenty-one days by such further period as it thinks fit or condone any delay in making such report.
(3) Notwithstanding anything contained in sub-section (1), the Central Government may, on the recommendation of the Bank and having regard to the adequacy of the paid-up capital and reserves of a non-banking financial company in relation to its deposit liabilities, declare by order in writing that the provisions of sub-section (1) shall not be applicable to the non-banking financial company for such period as may be specified in the order :
Provided that no such order shall be made unless the amount in the reserve fund under sub-section (1) together with the amount in the share premium account is not less than the paid-up capital of the non-banking financial company.
Section 42 - Cash reserves of scheduled banks to be kept with the Bank
Section 43 - Publication of consolidated statement by the Bank
Section 43A - Protection of action taken in good faith
Section 45 - Appointment of agents
CHAPTER IIIA COLLECTION AND FURNISHING OF CREDIT INFORMATION
Section 45B - Power of Bank to collect credit information
Section 45C - Power to call for returns containing credit information
Section 45D - Procedure for furnishing credit information to banking companies
Section 45E - Disclosure of information prohibited
Section 45F - Certain claims for compensation barred
Section 45H Chapter IIIB not to apply in certain cases
Section 45IA - Requirement of registration and net owned fund
Section 45 IB - Maintenance of percentage of assets
Section 45ID - Power of Bank to remove directors from office
Section 45 JA - Power of Bank to determine policy and issue directions
Section 45 M - Duty of non-banking institutions to furnish statements, etc., required by Bank
Section 45 MA - Powers and duties of auditors
Section 45 MB - Power of bank to prohibit acceptance of deposit and alienation of assets