Governent Securities Act : Misuse of subsidiary general ledger account facility. Indian Bare Acts :

Governent Securities Act,2006

Act No : 38

Section : Misuse of subsidiary general ledger account facility.

27. Misuse of subsidiary general ledger account facility. - Where a subsidiary general ledger account is opened by the Bank in favour of any holder of a Government security in terms of section 4 and,-(a) it comes to the notice of the Bank that the said account is being operated contrary to the terms and conditions subject to which the account was opened; or(b) the subsidiary general ledger account transfer form has bounced due to insufficiency of Government security or funds; or(c) the Bank is of opinion that the account is being operated contrary to the banking practice or in a manner prejudicial to the interests of the holders of Government securities in general; or(d) the subsidiary general ledger account is being misused in any manner,the Bank may, by order in writing, after giving an opportunity of being heard, debar the holder of such account from trading with the subsidiary general ledger account facility temporarily or permanently as it deems fit.