Central Act

The State Bank of India Act, 1955

24. Removal from office of directors, etc. (1) The Central Government may, after consulting the Reserve Bank, remove from office 1[the chairman 2*** or a managing director.] 3* * * * * (3) The Central Government, 4*** may remove from office any director 5[appointed under clause (ca) or clause (cb) or nominated under clause(d) 6[of section 19] 7[or any member of a Local Board nominated under clause (c) of sub-section (1) of section 21] and 8[appoint or nominate, as the case may be], in his stead another person to fill the vacancy. (4) The shareholders, other than the 9[Central Government], may, by a resolution passed by majority, of the votes of such shareholders holding in the aggregate not less than one-half of the share capital held by all such shareholders, remove any director elected under clause (c) 10***of section 19 and elect in his stead another person to fill the vacancy. 11* * * * * (6) No person shall be removed from his office under sub-section (1) 12*** or sub-section (3) unless he has been given an opportunity of showing cause against his removal.