BANKING
COMPANIES (LEGAL PRACTITIONERS' CLIENTS' ACCOUNTS) ACT, 1949 [REPEALED] THE
BANKING COMPANIES (LEGAL PRACTITIONERS' CLIENTS' ACCOUNT) ACT, 1949 [Act, No.
46 of 1949] [8th
December, 1949] An Act to
restrict the liability of banking companies in connection with certain
transaction by legal practitioners; WHEREAS it is expedient to
restrict the liability of banking companies in connection with certain transactions
by legal practitioners; It is hereby enacted as
follows :? (1) This Act
may be called the banking companies (Legal Practitioners' Clients' Accounts)
Act, 1949. {Substituted by the A.O.
1950, for the former sub-section.} (2) It
extends to the whole of India {The words "except the State of Jammu
Kashmir" omitted by Act 62 of 1956, section 2 and Schedule.} * * *.] (3) It shall
come into force in the Presidency-town of Bombay at once, and in the rest of
the {Substituted by the Bombay Reorganization (Adaptation of Laws on Union
Subjects) Order, 1961, for "State of Bombay" (w.e.f. 1-5-1960).}
[State of Maharashtra] or any part thereof or {Substituted by the A.O. 1950,
for "in any other Province or any Acceding State or any Part of such
Province or State".} [ in any other State or in any part of such State] on
such date or dates {The Act was brought into force in Orissa on 1st August,
1950, vide Notifn. No. S.R.O. 270, dated the 12th July, 1950, Gazette of Indian,
Pt. II, Section 3, p. 278 and in the State of Punjab on the 1st October, 1951,
vide Notifn. No. S.R.O. 1431, dated 18th September, 1951, Gazette of India, Pt.
II, Section 3, p. 1597.} as the Central Government may, by notification in the
Official Gazette, appoint. In this Act, unless there
is anything repugnant in the subject or context,- {Substituted by Act 38 of
1959,Section 64 and Schedule III, for clause. (a) (w.e.f.
10-9-1959).}[(a) "banking company" means any banking company as defined
in section 5 of the Banking Companies Act, 1949 (1 of 1949), and includes the
State Bank of India {Subs. by Act 5 of 1970,Section 20, for "and any
subsidiary bank" (w.e.f. 19-7-1969).} [a corresponding new bank
constituted under section 3 of the Banking Companies (Acquisition and Transfer
of Undertaking Act, 1970 ( 5 of 1970), {Subs. by Act 21 of 1976,Section 33, for
certain words (w.e.f. 26-9-1975).} [ a Regional Rural Bank established under
section 3 of the Regional Rural Banks Act, 1976 (21 of 1976), {Substituted by
Act 40 of 1980,Section 20 (a) (w.e.f. 15-4-1980).} [ a corresponding new bank
constituted under section 3 of the Banking Companies (Acquisition and Transfer
of Undertakings) Act, 1980 (40 of 1980) and any subsidiary bank]]] as defined in
the State Bank of India (Subsidiary Banks ) Act, (38 of 1959);] (b) "
legal practitioner " has the same meaning as in the legal Practitioners
Act, 1879 (18 of 1879). (1) Where,
under any law or rule shaving the force of law, a legal practitioner keeping an
account in banking company for clients,' moneys may only operate on such
account for specified purposes, then, neither the banking company with which
such an account is kept nor any other banking company shall, in connection with
any transaction relating to such account, incur any liability, or be under nay
obligation to make any enquiry, or be deemed to have nay knowledge of any right
of any person to any money paid or credited to such account, which it would not
incur, or be under, or be deemed to have, in the case of an account kept by a
person entitled absolutely to all the money paid or credited to the account : Provided that nothing in
this sub-section shall- (i) apply to
the case of an account kept by a legal practitioner as trustee for a specified
beneficiary, or (ii) relieve a
banking company form any liability or obligation which it would incur or be
under, apart form this Act. (2) Notwithstanding
anything contained in sub-section (1), a banking company in which a legal
practitioner keeps an account for clients' moneys shall not, in respect of any
liability of such practitioner to the banking company, not being a liability in
connection with that account, have or obtain any recourse or right, whether by
way of set-off, counter-claim, charge or otherwise, against moneys standing to
the credit of that account. THE
BANKING COMPANIES (LEGAL PRACTITIONERS' CLIENTS' ACCOUNTS) REPEAL ACT, 2001 [Act, No. 20 of 2001] [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: - This Act may be called the
Banking Companies (Legal Practitioners' Clients' Accounts) Repeal Act, 2001. The Banking Companies
(Legal Practitioners' Clients' Accounts) Act, 1949 (46 of 1949) is hereby
repealed.
Preamble 1 - BANKING COMPANIES (LEGAL PRACTITIONERS' CLIENTS'
ACCOUNT) ACT, 1949PREAMBLE
PREAMBLE