46
(6) Unless otherwise expressly provided by or under this Part, all contracts, deeds, bonds,
agreements, powers of attorney, grants of legal representation and other instruments of whatever nature
subsisting or having effect immediately before the appointed day and to which the acquired bank is a
party or which are in favour of the acquired bank shall be of as full force and effect against or in favour
of the Central Government, or as the case may be, of the transferee bank, and may be enforced or acted
upon as fully and effectually as if in the place of the acquired bank the Central Government or the
transferee bank had been a party thereto or as if they had been issued in favour of the Central
Government or the transferee bank, as the case may be.
(7) If, on the appointed day, any suit, appeal or other proceeding of whatever nature is pending by
or against the acquired bank, the same shall not abate, be discontinued or be, in any way, prejudicially
affected by reason of the transfer of the undertaking of the acquired bank or of anything contained in
this Part, but the suit, appeal or other proceeding may be continued, prosecuted and enforced by or
against the Central Government or the transferee bank, as the case may be.
36AF. Power of the Central Government to make scheme.—(1) The Central Government may
after consultation with the Reserve Bank, make a scheme for carrying out the purposes of this Part in
relation to any acquired bank.
(2) In particular, and without prejudice to the generality of the foregoing power, the said scheme
may provide for all or any of the following matters, namely:—
(a) the corporation, or the company incorporated for the purpose, to which the undertaking
including the property, assets and liabilities of the acquired bank may be transferred, and the
capital, constitution, name and office thereof;
(b) the constitution of the first Board of management (by whatever name called) of the
transferee bank, and all such matters in connection therewith or incidental thereto as the Central
Government may consider to be necessary or expedient;
(c) the continuance of the services of all the employee of the acquired bank (excepting such of
them as, not being workmen within the meaning of the Industrial Disputes Act, 1947 (14 of 1947),
are specifically mentioned in the scheme) in the Central Government or in the transferee bank, as
the case may be, on the same terms and conditions so far as may be, as are specified in clauses (i)
and (j) of sub-section (5) of section 45;
(d) the continuance of the right of any person who, on the appointed day, is entitled to or is in
receipt of, a pension or other superannuation or compassionate allowance or benefit, from the
acquired bank or any provident, pension or other fund or any authority administering such fund, to
be paid by, and to receive from, the Central Government or the transferee bank, as the case may be,
or any provident, pension or other fund or any authority administering such fund, the same pension,
allowance or benefit so long as he observes the conditions on which the pension, allowance or
benefit was granted, and if any question arises whether he has so observed such conditions, the
question shall be determined by the Central Government and the decision of the Central
Government thereon shall be final;
(e) the manner of payment of the compensation payable in accordance with the provisions of
this Part to the shareholders of the acquired bank, or where the acquired bank is a banking company
incorporated outside India, to the acquired bank in full satisfaction of their, or as the case may be,
its, claims;
(f) the provision, if any, for completing the effectual transfer to the Central Government or the
transferee bank of any asset or any liability which forms part of the undertaking of the acquired
bank in any country outside India;
(g) such incidental, consequential and supplemental matters as may be necessary to secure that
the transfer of the business, property, assets and liabilities of the acquired bank to the Central
Government or transferee bank, as the case may be, is effectual and complete.