Section 45A of the Banking Regulation Act, 1949 - Part IIIA to Override Other Laws
Section 45A gives overriding effect to Part IIIA of the Banking Regulation Act, 1949 where another law or legal instrument is inconsistent with the special provisions governing the speedy disposal of winding-up proceedings of banking companies.
Text of Section 45A: Part IIIA to Override Other Laws
Section 45A. The provisions of this Part and the rules made thereunder shall have effect notwithstanding anything inconsistent therewith contained in the Companies Act, 1956 (1 of 1956) or the Code of Civil Procedure, 1908 (5 of 1908) or the Code of Criminal Procedure, 1973 (2 of 1974) or any other law for the time being in force or any instrument having effect by virtue of any such law; but the provisions of any such law or instrument in so far as the same are not varied by, or inconsistent with, the provisions of this Part or rules made thereunder shall apply to all proceedings under this Part.
Meaning of Section 45A
The expression "notwithstanding anything inconsistent therewith" is a non-obstante clause. In practical terms, it means that when a provision of Part IIIA or a rule made under Part IIIA conflicts with another applicable law or legal instrument, the Part IIIA provision prevails to the extent of the inconsistency.
The second part of Section 45A is equally important. Other laws are not excluded altogether. They continue to apply to proceedings under Part IIIA so far as they are not varied by, and are not inconsistent with, Part IIIA or the rules made under it.
In short: Part IIIA has priority where there is a conflict, but compatible provisions of other laws continue to operate.
Current Legal Context: Companies Act, BNSS and Repealed Enactments
The official text of Section 45A continues to contain historical references to the Companies Act, 1956 and the Code of Criminal Procedure, 1973. Those references should not be silently rewritten inside the statutory quotation.
The Companies Act, 1956 has been repealed through Section 465 of the Companies Act, 2013, subject to statutory savings. The Code of Criminal Procedure, 1973 was repealed by Section 531 of the Bharatiya Nagarik Suraksha Sanhita, 2023, which came into force on 1 July 2024 and contains specific savings for pending proceedings and other matters.
For references in older enactments to provisions that have been repealed and re-enacted, Section 8 of the General Clauses Act, 1897 provides a general rule of construction: unless a different intention appears, a reference to a repealed provision is construed as a reference to the provision as re-enacted.
Important: Section 45A should be read with the current law applicable to the proceeding in question, including repeal-and-savings provisions and the General Clauses Act. Whether a particular old statutory reference maps to a specific provision of a newer enactment can depend on the subject, context and transitional provisions.
Part IIIA: Special Provisions for Speedy Disposal of Winding-Up Proceedings
Part IIIA is a special procedural framework within the Banking Regulation Act dealing with winding-up proceedings concerning banking companies. Section 45A is the gateway overriding provision for this Part. Its purpose is to prevent inconsistent provisions in general procedural or company law from defeating the special winding-up mechanism created for banking companies.
This priority is limited to inconsistency. If another law can operate harmoniously with Part IIIA, Section 45A itself says that the compatible provision continues to apply.
How Section 45A operates
- Identify the relevant provision of Part IIIA or a rule made under it.
- Identify the provision of another law or instrument that would otherwise apply.
- Determine whether the two provisions are inconsistent in the particular proceeding.
- If there is inconsistency, Part IIIA prevails to that extent.
- If there is no inconsistency, the other law or instrument can continue to apply.
Legislative Notes
Part IIIA: Substituted by Act 52 of 1953, section 10, with effect from 30 December 1953.
Companies Act reference: The earlier reference to the Indian Companies Act, 1913 was substituted by Act 95 of 1956, section 14 and the Schedule, with effect from 14 January 1957.
Criminal procedure reference: The reference to the Code of Criminal Procedure, 1898 was substituted by Act 1 of 1984, section 35, with effect from 15 February 1984.