Banking Companies (Legal Practitioners' Clients' Accounts) Repeal Act, 20011
| [Act 20 of 2001, Repealed by Act 23 of 2016, S. 2 and Sch. I] | [26th August, 2001] |
An Act to repeal the Banking Companies (Legal Practitioners' Clients' Accounts) Act, 1949
Be it enacted by Parliament in the Fifty-second Year of the Republic of India as follows:-
1 Received the assent of the President on 26-8-2001 and published in the Gazette of India, Extra., Part II, Section 1, dated 27-8-2001, p.1, No. 27.
Prefatory Note-Statement of Objects and Reasons.-The Banking Companies (Legal Practitioners' Clients' Accounts) Act, 1949 was enacted with a view to restricting the liability of banking companies in connection with transactions by legal practitioners. This Act, inter alia, provides for restriction of liability of banking companies in certain cases which relate to the keeping of account in banking companies by legal practitioners for clients' money.
2. The Commission on Review of Administrative Laws, which was set up by the Government of India on the 8th May, 1998 recommended the repeal of the said Act.
3. Reserve Bank of India has also expressed the view that, in practice, no legal practitioner has been opening or operating any clients' account with the banking companies and, therefore, the protection given in the said Act to the banking companies has become redundant.
4. In pursuance of the recommendation of the said Commission and the views expressed by the Reserve Bank of India, the Central Government proposes to repeal the said Act.
5. The Bill seeks to achieve the above object.
1. Short title.-This Act may be called the Banking Companies (Legal Practitioners' Clients' Accounts) Repeal Act, 2001.
2. Repeal of Act 46 of 1949.-The Banking Companies (Legal Practitioners' Clients' Accounts) Act, 1949 is hereby repealed.