This refers to Prudential Regulation (G-1) for Corporate/Commercial Banking as amended from time to time and Fit and Proper Test (FPT) notified vide BPRD Circular No. 4 of 2007 dated April 23, 2007.

2. Based on the review of Prudential Regulations and feedback from Banks/DFIs, the following amendment in the definition of “Executive Director” has been made with immediate effect:

Existing Definition	Revised Definition
Executive Director means a paid employee or executive in the concerned bank/DFI or employee or executive in a company/group where sponsor shareholders of the bank/DFI have substantial interest.	Executive Director” means a paid employee or executive in the concerned Bank/DFI who is also a member of the Board of Directors

3. Please acknowledge the receipt.