Section 40: Inspection

40. Inspection.-- (1) Notwithstanding anything to the contrary contained in section 138 of the 2[Companies Ordinance, 1984 (XLVII of 1984)], the State Bank may, at any time, and, on being directed so to do by the 3[Federal Government], shall, inspect any banking company and its books and accounts. (2) The inspection shall be carried out by such officer of the State Bank as the State Bank may direct. (3) The State Bank shall supply to the banking company a copy of its report on the inspection made under this section. (4) It shall be the duty of every director or other officer of the banking company 4[or any company or firm or person referred to in section 27A] to produce to any officer, hereafter in this section called the inspecting officer, making an inspection under this section, all such books, accounts and other documents in his custody or power and to furnish him with such statements and information relating to the affairs of the banking company 4[or any company or firm or person referred to in section 27A] and within such time as the inspecting officer may require. (5) The inspecting officer may examine on oath any director or other officer of the banking company in relation to its business and may administer an oath accordingly. 5[(6) The State Bank shall, if it has been directed by the Federal Government to make an inspection, and, in any other case, may, submit a report to the Federal Government on any inspection made under this section.] (7) 5[* ** * * * *]

Effective date: 1962-06-07

Related sections