CENTRAL
EDUCATIONAL INSTITUTIONS (RESERVATION IN ADMISSION) AMENDMENT ACT, 2012
[REPEALED] THE CENTRAL EDUCATIONAL INSTITUTIONS (RESERVATION
IN ADMISSION) AMENDMENT ACT,2012 [No. 31 of 2012] [19th June, 2012] An Act to amend the Central Educational
Institutions (Reservation in Admission) Act, 2006 Be
it enacted by Parliament in the Sixty-third Year of the Republic of India as
follows:-- This
Act may be called the Central Educational Institutions (Reservation in
Admission) Amendment Act, 2012. In section 2
Preamble - THE CENTRAL EDUCATIONAL
INSTITUTIONS (RESERVATION IN ADMISSION) AMENDMENT ACT, 2012PREAMBLE
'(ia) ?"specified
north-eastern region" means the area comprising of the States of Arunachal
Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura and the tribal
areas of Assam referred to in the Sixth Schedule to the Constitution;
(ib) ??"State
seats", in relation to a Central Educational Institution, means such
seats, if any, out of the annual permitted strength in each branch of study or
faculty as are earmarked to be filled from amongst the eligible students of the
State in which such institution is situated;'
Section 3 - Amendment of section 3
In section 3 of
the principal Act, the following provisos shall be inserted, namely:--
"Provided
that the State seats, if any, in a Central Educational Institution situated in
the tribal areas referred to in the Sixth Schedule to the Constitution shall be
governed by such reservation policy for the Scheduled Castes, the Scheduled
Tribes and the Other Backward Classes, as may be specified, by notification in
the Official Gazette, by the Government of the State where such institution is
situated:
Provided
further that if there are no State seats in a Central Educational Institution
and the seats reserved for the Scheduled Castes exceed the percentage specified
under clause (i) or the seats reserved for the Scheduled Tribes exceed the
percentage specified under clause (ii) or the seats reserved for the Scheduled
Castes and the Scheduled Tribes taken together exceed the sum of percentages
specified under clauses (i) and (ii), but such seats are--
(a) less than fifty per cent, of the annual permitted
strength on the date immediately preceding the date of commencement of this
Act, the total percentage of the seats required to be reserved for the Other
Backward Classes under clause (iii) shall be restricted to the extent such sum
of percentages specified under clauses (i) and (ii) falls short of fifty per
cent, of the annual permitted strength;
(b) more than fifty per cent, of the annual permitted
strength on the date immediately preceding the date of commencement of this
Act, in that case no seat shall be reserved for the Other Backward Classes
under clause (iii) but the extent of the reservation of seats for the Scheduled
Castes and the Scheduled Tribes shall not be reduced in respect of Central
Educational Institutions in the specified north-eastern region.".
Section 4 - Amendment of section 4
In section 4 of
the principal Act, clause (a) shall be omitted.
Section 5 - Amendment of section 5
In section 5 of
the principal Act,--
(a) in sub-section (1), for the words "number of
such seats available", the words "number of such seats available or
actually filled, whichever be less," shall be substituted;
(b) in sub-section (2), for the words "three
years", the words "six years" shall be substituted.
Section 6 - Amendment of section 6
In section 6 of
the principal Act, for the figures "2007", the figures
"2008" shall be substituted.
Statement of Objects and Reasons -
CENTRAL EDUCATIONAL INSTITUTIONS (RESERVATION IN ADMISSION) AMENDMENT ACT, 2012
STATEMENT OF OBJECTS AND REASONS
1.
The
Banking Regulation Act, 1949 being the law relating to banking has been in
force for more than six decades. It, inter alia, empowers the Reserve Bank to
regulate and supervise the banking sector. The banking companies are now
operating in a liberalised environment. In this scenario, it has become
necessary that the banking companies in India are enabled to raise capital in
accordance with the international best practices. Therefore, it is proposed to-
(a) enable the nationalised banks to increase or
decrease the authorised capital with approval from the Central Government and
the Reserve Bank without being limited by the ceiling of a maximum of three
thousand crores of rupees;
(b) provide the nationalised banks to issue two
additional instruments ("bonus shares" and "rights issue")
for accessing the capital market to raise capital required for expansion of
banking business;
(c) raise the ceiling on voting rights of shareholders
of nationalised banks from one per cent. to ten per cent.;
(d) make provisions to ensure that control of banking
companies is in the hands of fit and proper persons, it should be mandatory for
the persons to obtain prior approval from the Reserve Bank who propose to
acquire five per cent. or more of the share capital of a banking company;
(e) confer power upon the Reserve Bank to impose such
conditions as it deems necessary while granting such approval for acquisitions
of five per cent. or more share capital of a banking company (including
specifying acquisition of a minimum percentage of shares in a banking company)
if it considers necessary; and
(f) remove the existing restriction on voting rights
limited to ten per cent. of the total voting rights of all the shareholders of
the banking company.
2.
Taking
advantage of the liberalised environment, banking companies are engaging in
multifarious activities through the medium of associate enterprises. It has,
therefore, become necessary for the Reserve Bank, as the regulator of the
banking companies, to be aware of the financial impact of the business of such
enterprises on the financial position of the banking companies. It is,
therefore, proposed to confer power upon the Reserve Bank to call for
information and returns from the associate enterprises of banking companies
also and to inspect the same, if necessary.
3.
Under
the existing provision contained in section 36AA of the Banking Regulation Act,
1949, the Reserve Bank has, inter alia, power to remove any director or other
officers of a banking company, but such power is not adequate if the entire
Board of directors of a banking company is functioning in a manner detrimental
to the interest of the depositors or the banking company itself. It is,
therefore, proposed to confer power upon the Reserve Bank to supersede the
Board of directors of a banking company for a total period not exceeding twelve
months and appoint an administrator to manage the banking company during the
said period.
4.
The
Part V of the Banking Regulation Act, 1949 applies to co-operative societies
subject to modifications which, inter alia, allow a primary co-operative
society to carry on business of banking till it has been granted a licence or a
notice is notified that the licence cannot be granted to it. For a sound and
healthy banking system and to protect the interest of depositors, it has become
necessary to ensure that only the co-operative societies licensed by the
Reserve Bank should carry on the business of banking by fulfilling all the
requirements specified by the Reserve Bank and it has become essential to provide
the time limit of one year to be extended to three years within which a primary
credit society should carry on the business of banking or stop the business of
banking.
5.
Under
the existing provisions of the Competition Act, 2002, the Competition Commission
of India has power to regulate combination, which causes or is likely to cause
an appreciable adverse effect on competition within the relevant market in
India. It is proposed to insert a new section 2A in the Banking Regulation Act,
1949 so as to exempt mergers of the banking companies from the applicability of
the provisions of the Competition Act, 2002. The exemption of mergers of
banking companies from the scrutiny of the Competition Commission of India
would allow the Reserve Bank to approve mergers of banking companies in public
or depositors' interest, in the interest of the banking system in India and to
secure the proper management of the banking company in a timely manner without
waiting for the approval of the Competition Commission of India.
6.
The
Banking Regulation (Amendment) Bill, 2005 was introduced in the Lok Sabha on
the 13th May, 2005 to strengthen the Reserve Bank's supervisory and regulatory
powers over the banking sector. The Bill was referred to the Standing Committee
on Finance for examination and report thereon. Based on the recommendations of
the Standing Committee, it was decided to move official amendments to the Bill
in the Lok Sabha, but the Bill could not be taken up for consideration and
lapsed due to dissolution of the Lok Sabha. The present Bill incorporates
certain provisions of the Banking Regulation (Amendment) Bill, 2005.
7.
In
addition to the changes proposed in paragraphs 1 to 5, it is also proposed to,-
(a) enable the banking companies to issue preference
shares subject to regulatory guidelines of the Reserve Bank;
(b) align the restriction on commission, etc., on sale
of shares to issue price rather than to the paid-up value of shares;
(c) establish a "Depositor Education and Awareness
Fund" to take over in operative deposit accounts which have not been
claimed or operated for a period of ten years or more;
(d) substantially increase the penalties and fine for
some violations of the Banking Regulation Act, 1949;
(e) confer power upon the Reserve Bank to levy penal interest
in case of non-maintenance of required cash reserve ratio;
(f) confer power upon the Reserve Bank to order a
special audit of co-operative banks in public interest for a more effective
supervision of co-operative banks.
8.
The
Banking Laws (Amendment) Bill, 2011 seeks to amend the Banking Regulation Act,
1949, the Banking Companies (Acquisition and Transfer of Undertakings) Act,
1970 and the Banking Companies (Acquisition and Transfer of Undertakings) Act,
1980 to make the regulatory powers of Reserve Bank more effective and to
increase the access of the nationalised banks to capital market to raise
capital required for expansion of banking business and also to make certain
other consequential amendments in certain other enactments.
9.
The
Bill seeks to achieve the above objects.