Bank Holidays – Negotiable instruments Act ( Rumours regarding Continuous Bank Holidays )

Bank Holidays – Negotiable instruments Act ( Rumours regarding Continuous Bank Holidays )

After the implementation of the 2nd and 4th Saturday holiday, we have witnessed increase in messages that  banks will be closed down continuously  for 8 days etc., in view of  holidays declared under N I Act etc.,    This propaganda is mainly carried out by small local news papers. Once the news is published in papers about continuous bank holidays, whatsapp is stepping in and the news is spread like a wildfire.  These news papers are spoiling the image of bank employees.

It is our opinion  that,  bank employees should  counter the false propaganda.   Majority bankers are not aware about the procedure of declaring  holiday’s for Bank’s under N I ACT.  For countering the false propaganda we should know what the fact is.  We hope the following few para’s will give a small insight into the holidays declared under NI Act.

Section 25 of N I Act 1881, has conferred the right to declare a holiday (apart from Sundays, all Sundays are Bank holidays as per N I Act 1881) to central government.  For simplicity we are reproducing the section 25 here, but the purpose of the said section is that any negotiable  instrument which is due on a particular day will become payable on next day if the payee date is a holiday under N I Act.   If a holiday is not declared under N I Act, bankers are bound to open the branches.

Considering the divergent cultural and local customs and traditions of our country Central government has delegated the  powers for declaring the bank holidays under N I Act to state governments.  While delegating the powers central government has clarified that it can also exercise the right to declare the holiday for banks under N I Act along with states if need arises.

So, as far as banks are considered both state and central governments can declare holidays.  However under  normal circumstances state governments will be declaring the holidays with regard to Banks under N I  Act.

If  we compare  holidays for state government employees with that of bank holidays declared under NI Act, it will be crystal clear,  government employees are benefitted by extra 4 to 5 holidays.

Now coming to the point the news papers are clubbing holidays of different states and claiming that there are continuous holidays.  Eg Dasara holidays of Karnataka are clubbed with that of Diwali holidays of Uttarpradesh. Whenever we see such article please do send a mail us and also to the concerned publication and whenever a whatsapp message is received, strongly deny them.

We have uploaded the holidays of different states in a separate page.

Please click the following link

Bank Holidays 2017

3 Replies to “Bank Holidays – Negotiable instruments Act ( Rumours regarding Continuous Bank Holidays )”

  1. C Madhusudhana

    As suggested in the above article, we should strongly resist the false propaganda regarding continuous holidays even when they do not exist. This propaganda is due to lack of sympathy for bankers by press and general public which is widely seen during our strikes and bipartite settlements. There is a need to fill that gap between the bank employees and press. The initiative for this needs to be taken by trade unions only.

    Reply
  2. Vijay rathod

    News of continuous holidays were published in bhopal edition of newspapers ie Dainik bhasker and Patrika along with many other local news papers…

    Reply
  3. Ananth U R

    What is said is true. But the management should also take the responsibility of rebutting such fabricated news and wide publicity should be given in this regard. I have seen oû own employee S pressing the like button in fb as a matter of routine one. They also needs to be educated in this regard.

    Reply

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