Union Minister of State for Finance Pankaj Chaudhary informed the Rajya Sabha that compliance with the relevant provisions of the Banking Regulation Act, 1949, including Section 10A (sub-section 2a (i)), is being undertaken by the Reserve Bank of India (RBI) through coordination with state governments and is monitored via both off-site and on-site surveillance mechanisms.
He stated that as per the amendment in Section 10A (sub-section 2a (i)) of the BR Act, the maximum continuous tenure of directors of cooperative banks, excluding the Chairperson and Whole-time Directors, has been extended from 8 to 10 years. This provision has come into effect from 1st August 2025.
As informed by NABARD, there are 18 directors, including one Chairperson/Whole-time Director, who are holding their positions for more than 10 years in Ahmedabad District Co-operative Bank Ltd.
In this context, concern states should also issue circular to clarify this stance and at the same time election pradhikaran issue notification, then all doubts get compketely clear.