2. Amendment of section 24. - In section 24 of the Banking Regulation Act, 1949 (hereinafter referred to as the principal Act),-
(a) sub-sections (1) and (2) shall be omitted;
(b) for sub-section (2A), the following sub-section shall be substituted, namely:-
"(2A) A scheduled bank, in addition to the average daily balance which it is, or may be, required to maintain under section 42 of the Reserve Bank of India Act, 1934 and every other banking company, in addition to the cash reserve which it is required to maintain under section 18, shall maintain in India, assets, the value of which shall not be less than such percentage not exceeding forty per cent. of the total of its demand and time liabilities in India as on the last Friday of the second preceding fortnight as the Reserve Bank may, by notification in the Official Gazette, specify from time to time and such assets shall be maintained, in such form and manner, as may be specified in such notification.";
(c) sub-section (2B) shall be omitted.
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