State Bank of India Act, 1955

20. Terms of office of chairman, managing director, etc.

(1) ²⁶[The chairman, vice-chairman an each managing director] shall hold office for such term, not exceeding five years, as the Central Government may fix when appointing them and shall be eligible for reappointment.

²⁷ [(1A) Notwithstanding anything contained in sub-section (1), the Central Government shall have the right to terminate the term of office of the chairman, vice-chairman or a managing director, as the case may be, at any time before the expiry of the term fixed under sub-section (1) by giving him notice of not less than three months in writing or three months salary and allowances in lieu of such notice; and the chairman, vice-chairman or a managing director, as the case may be, shall also have the right to relinquish his office at any time before the expiry of the term so fixed by giving to the Central Government notice of not less than three months in writing.]

²⁸ [***]

(3) Subject to the provisions contained in section 19 ²⁹[and in sub-section (5)], a director elected under clause (c) ³⁰[***] of ³¹[section 19 or nominated under clause (d) of that sub-section] shall hold office for ³¹[four years] and thereafter until his successor shall have been duly elected ³²[or nominated], and shall be eligible for re-election ³²[or re-nomination] :

³³ [Provided that no such director shall hold office continuously for a period exceeding six years.]

³⁴ [(3A) ³⁵[A director] appointed under clause (ca) or clause (cb) of sub-section (1) ³⁶[of section 19 or nominated under clause (d) of that section] shall hold office for such term, not exceeding three years, as the Central Government may specify and thereafter until his successor shall have been ³⁷[duly appointed], and shall be eligible ³⁷[for re-appointment]:]

³⁶ [Provided that no such director shall hold office continuously for a period exceeding six years.]

³⁸ [(4) A director nominated under clause (e) or clause (f) of sub-section (f) ³⁹[of section 19 or nominated under clause (d) or clause (e) or clause (f) of that section] shall hold office during the pleasure of the authority nominating him.]

⁴⁰ [(5) The following provisions shall have effect in relation to directors nominated under clause (d) of sub-section (1) of section 19, to the Central Board reconstituted for the first time on or after the commencement of the State Bankof India (Amendment) Act, 1964, namely:-

(i) if the number of such directors holding office at the end of one year from the date of such reconstitution is not more than three, then one of such directors, and if such number exceeds three, then two of them, shall retire at the end of the said year;

(ii) if the number of such directors holding office at the end of two years from the date of the such reconstitution is not more than three, then one of such directors, and if such number is four, then two of them, shall retire at the end of the said two years;

(iii) if the number of such directors holding office at the end of three years from the date of such reconstitution is not more than two then one of such directors shall retire at the end of the said three years;

(iv) any such director holding office for a period of four years from the date of such reconstitution shall retire at the end of such period;

(v) the director or directors to retire at the end of each year under clauses (I), (ii) and (iii) shall be determined by lot.]

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