Deposit Insurance and Credit Guarantee Corporation Act ,1961
Act No : 47
Section :
Guaranteeing of credit facilities and indemnifying creditinstitutions.
21A. Guaranteeing of credit facilities and indemnifying credit institutions. (1) The Corporation may guarantee credit facilities given by any credit institution and may also indemnify credit institutions in respect of credit facilities granted by them. --------------------------------------------------------------------- 1. Ins. by Act 21 of 1978, s. 8 (w.e.f. 15-7-1978). 292 (2) The Board may, for the purpose of guaranteeing credit facilities granted by credit institutions or indemnifying credit institutions, frame one or more schemes in such form and in such manner and containing such provisions as the Board may, from time to time, deem fit. (3) The Board may levy, on every credit institution availing itself of the guarantees or indemnities provided by the Corporation, a fee at such rate or rates as may, with the previous approval of the Reserve Bank, be notified by the Corporation to the credit institutions from time to time and different rates may be notified for different categories of credit institutions, for different types of credit facilities, for different areas where the credit facilities are utilised, or for different categories of beneficiaries of the credit facilities. Explanation.--"Credit facility" means any financial assistance, including a loan or advance, cash credit, overdraft, bills purchased or discounted, a term of instalment credit and any guarantee other than a performance guarantee, granted or issued in India by a credit institution at any of its offices in India.
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