Please refer to Section-C of Prudential Regulation G-1 regarding Management notified vide BPRD Circular No.03 dated April 23, 2007. It has been decided to amend para C-3 of the above mentioned section with immediate effect as under:

  “3. Chairman of the Board of Directors may, if deemed necessary, appoint one advisor to advise and facilitate him in discharge of his duties/responsibilities. The appointment of such an advisor will be subject to the following conditions:

a) The advisor must possess the required technical experience relating to banking and finance at a senior level to enable him/her to render a professional advice to the Board.

b) The terms of reference of the advisor shall be approved by the Board.

c) A reasonable remuneration may be paid to the advisor with the approval of the Board of Directors.

d) The advisor may attend the meetings of Board of Directors and Board Committees in which his/her participation is required but he/she will not be a member of the Board and/or its committees.

e) The advisor shall be required to sign an appropriate confidentiality agreement to ensure confidentiality of documents / information that may come to his/her knowledge, before assuming any such role.”

All other instructions on the subject shall remain unchanged.

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