The Banking Regulation Act has been amended by the Banking Regulation (Amendment) Act, 2020. The key changes in the regulatory regime of UCBs pursuant to the Banking Regulation (Amendment) Act, 2020 are as under: • The Reserve Bank has been given powers over the management of the UCBs, owing to which it can issue directions relating to the management of UCBs including approval for appointment of Chairman / MD / CEO, removal and remuneration of MD / CEO. Further, the Board of UCBs would be required to have not less than 51 per cent members having special knowledge / practical experience in specified areas. • The statutory restriction on grant of director-related loans/ advances has been widened and common directorship across banks shall be prohibited as per the provisions of the amended Act. • The Reserve Bank has been vested with powers of approval of the appointment / removal of statutory auditors of UCBs. • Provisions of the revised Act will enable UCBs to raise capital by i
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