State Financial Corporations Act : Restrictions on transfer of shares. Indian Bare Acts :

State Financial Corporations Act,1951

Act No : 63

Section : Restrictions on transfer of shares.

5. Restrictions on transfer of shares. (1) The shares of the Financial Corporation shall not be transferable except to the State Government, the Reserve Bank, 2*[the Development Bank] or any other financial institution 3*[or class of financial institutions] recognised in this behalf by the State Government 4*[or other institutions notified under clause (c) of sub-section (3) of section 4"] 5* * * * * Provided that the shares subscribed for by the parties referred to in clause (d) of sub-section (3) of section 4 shall be freely transferable.