Revised Fit and Proper Declaration for Bank Directors
No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2010-11/541 · issued 23 May 2011 · ~2 min read
Quick answerRBI has partially modified the 'Declaration and Undertaking' format for directors' fit and proper due diligence, adding an explanatory note to Column IV(g). Banks must use the revised format for all existing and incoming directors.
What changed
RBI issued a circular on May 23, 2011, partially modifying the format of the 'Declaration and Undertaking' used for assessing directors' fit and proper status. An explanatory note has been added against Column IV(g) of the format. Banks are now required to use this revised format for both existing directors and those to be appointed or elected.
What it means for you
This change tightens the due diligence process for bank directors by clarifying the disclosure requirements under Column IV(g), which relates to adverse regulatory notices. Banks must update their internal forms and processes to incorporate the revised declaration. Non-compliance could lead to regulatory scrutiny, so lenders should ensure timely adoption.
Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.
What banks were required to do at the time
Replace the old 'Declaration and Undertaking' format with the revised version from Annexure 1 of this circular.
Obtain the revised declaration from all existing directors and from any person being appointed or elected as director.
Ensure the explanatory note for Column IV(g) is clearly communicated to directors and candidates.
Update internal due diligence checklists and training materials to reflect the new format.
Who it affects
All nationalised banks, All private sector banks, All associate banks of State Bank of India, Board of directors and nomination committees, Compliance and legal departments of banks
❓ Common questions
Regulatory timeline
Decoded by BankPulse2026-06-19 01:23 IST
repealed_by — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
Status change: withdrawn03 Aug 2026, 04:00 IST
Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).
What is the key change in the revised declaration format?
The key change is the addition of an explanatory note against Column IV(g), which deals with whether a director has come to the adverse notice of a regulator like SEBI, IRDA, or others. This clarifies the disclosure requirement.
Does this circular apply to existing directors or only new appointments?
It applies to both. Banks must obtain the revised declaration from existing directors as well as from persons to be appointed or elected as directors.
What happens if a bank does not use the revised format?
The circular mandates use of the revised format. Non-compliance could be viewed as a regulatory lapse, potentially leading to supervisory action or penalties.
📜 This document’s life story (1 recorded event, each backed by RBI’s own words)
Repealed byRBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #1514: DBOD.No.BC.No.95/29.39.001/2010-11 — "Fit and Proper' Criteria for Directors on the Boards of Banks" dated May 23, 2011”
📜 Read the original circular — full text as issued by RBI
RBI/2010-11/541
DBOD. No.BC.No. 95/29.39.001/2010-11
May 23, 2011
To,
The Chairmen & Managing Directors of all Nationalised Banks /
Managing Directors & CEOs of all Private Sector Banks /
The Managing Directors of all the Associate Banks of State Bank of India
Dear Sir / Madam,
'Fit and Proper' Criteria for Directors on the Boards of Banks
Please refer to DBOD circulars No.BC.104 & 105/08.139.001/2003-04 dated June 25, 2004 addressed to all private sector banks, DBOD. No.BC.No.46 & 47/29.39.001/ 2007-08 dated November 1, 2007 addressed to all nationalized banks and DBOD.No.BC.No. 50/29.39.001/2007-08 dated November 14, 2007 issued to all Associate Banks of SBI, on the captioned subject.
2. It has been decided to partially modify the format of ‘Declaration and Undertaking’ prescribed for the purpose of conducting due diligence to determine the 'fit and proper' status of directors, incorporating an explanatory note against Column (IV)(g) of the said format which is given in Annexure 1 . Henceforth, banks should use the revised format for obtaining declaration and undertaking from existing directors as well as the person to be appointed / elected as director.
3. Please acknowledge receipt.
Yours faithfully,
(A K Khound)
Chief General Manager
Encl. As above
Annexure 1
Name of Bank : ___________________________________
Declaration and Undertaking by Director*
(with enclosures as appropriate as on __________)
I.
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2010-11/541 · issued 23 May 2011. The plain-English explanation above is BankPulse’s own independent summary.
Discuss this circular with fellow bankers — reply, upvote what helps, report what doesn’t belong. Be professional; no client data. Views are the commenter’s own, not BankPulse’s.
BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=6427&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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