Tag Archives: SECTION 20

LOANS TO DIRECTORS UNDER BANKING REGULATION ACT 1949

GUIDELINES ON COMPENSATION OF CHIEF EXECUTIVE OFFICER/WHOLE TIME DIRECTORS – RESTRICTIONS UNDER SECTION 20 OF THE BANKING REGULATION ACT, 1949 – LOANS TO DIRECTORS CIRCULAR DBR.DIR.BC.NO.38/13.03.00/2015-16, DATED 16-9-2015 Section 20 of Banking Regulation Act, 1949 (B.R. Act, 1949) prohibits banks from granting any loan or advance to any of its Directors. However, in exercise of… Read More »