Govt to introduce Bill to replace 125-year-old law on presenting bank records as evidence in courts
The Bankers' Books Evidence Bill, 2026 was listed for introduction in the Lok Sabha, intended to replace the Bankers' Books Evidence Act, 1891
The Bill is being introduced during the monsoon session of Parliament, alongside the Indian Statistical Institute Bill
The stated purpose is to modernise the century-old evidentiary framework for how bank records are presented in court, updating it for digital and electronic banking records
The 1891 Act's core mechanism, allowing certified copies of banking entries to be admitted as evidence without producing original ledgers or bank officials in person, is being carried forward and updated for present-day electronic record-keeping
Bankers' Books Evidence Act, 1891 — Original Framework
The Bankers' Books Evidence Act, 1891 is a pre-Independence colonial-era law that created a special, simplified mode of proving banking transactions in court, as an exception to the general rule under the Indian Evidence Act that requires original documents or their custodians to be produced.
Key Details
- Section 4 provides that a certified copy of any entry in a banker's book is admissible in legal proceedings as prima facie evidence of the entry and the transaction it records, without requiring the bank official who made the entry to testify or the original ledger to be produced
- Section 2(8) (as amended) extends "certified copy" to printouts from microfilm, magnetic tape, or other mechanical/electronic data-retrieval systems, provided they carry the prescribed certificate under Section 2A
- The Act defines "bankers' books" broadly to include ledgers, day-books, cash-books, account-books, and other records used in the ordinary business of a bank, including those stored electronically
- The Act's purpose was to spare banks the operational burden of producing physical registers and staff for every case involving a banking transaction, given the volume of banking litigation even in the 19th century
The new Bill retains this core evidentiary shortcut but is intended to be rewritten around digital-native banking records rather than being patched through repeated amendments (as with the 1950s, 1990s, and 2000 IT Act-linked amendments to the original Act).
Indian Evidence Act Framework and Special Evidentiary Statutes
The Bankers' Books Evidence Act operates as a special law (lex specialis) carving out an exception to the general evidentiary requirements under the Indian Evidence Act, 1872 (now largely replaced by the Bharatiya Sakshya Adhiniyam, 2023). Comparable special evidentiary provisions include Section 65B of the Evidence Act (Section 63 of the Bharatiya Sakshya Adhiniyam) governing admissibility of electronic records generally.
Key Details
- The Bharatiya Sakshya Adhiniyam, 2023 (BSA) replaced the Indian Evidence Act, 1872 as part of the three new criminal law codes that came into force on 1 July 2024, alongside the Bharatiya Nyaya Sanhita (replacing the IPC) and the Bharatiya Nagarik Suraksha Sanhita (replacing the CrPC)
- Section 63 of the BSA (analogous to old Section 65B) requires a certificate for admissibility of electronic records as secondary evidence, a requirement the Supreme Court held mandatory in Anvar P.V. v. P.K. Basheer (2014) and reaffirmed in Arjun Panditrao Khotkar v. Kailash Kushanrao Gorantyal (2020)
- Special evidentiary statutes like the Bankers' Books Evidence Act pre-date and operate independently of these general electronic-evidence certification rules, which is part of why updating the 1891 Act separately is considered necessary rather than relying solely on the BSA's general electronic-evidence provisions
Replacing the 1891 Act aligns banking-specific evidence law with the broader modernisation of India's evidentiary framework already undertaken through the Bharatiya Sakshya Adhiniyam, 2023, avoiding inconsistency between a colonial-era banking statute and the newly codified general evidence law.
Legislative Process for Introducing a Bill in Parliament
A Bill's introduction in either House is a formal first-reading stage under the Rules of Procedure and Conduct of Business, distinct from its substantive consideration and passage.
Key Details
- Introduction of a Bill requires only a motion for leave to introduce, generally passed on a voice vote, without discussion on the merits (Rule 72, Lok Sabha Rules)
- A Bill not covered by a Money Bill/Financial Bill classification can be introduced in either House; ordinary Bills (like this one) must be passed by both Houses before being presented for Presidential assent under Article 111
- After introduction, Bills are often referred to a Department-Related Parliamentary Standing Committee for detailed examination before being taken up for consideration and passage
The Bill's introduction on the day it was listed marks only the start of the legislative process; the Bill would need to be passed by both Houses and receive Presidential assent under Article 111 before repealing the 1891 Act.
- Bankers' Books Evidence Act enacted: 1891 (135 years old; described in reporting as "125-year-old" based on a still-earlier reference point)
- Bill introduced alongside: Indian Statistical Institute Bill
- Key provision retained: certified copies of bank entries admissible as prima facie evidence without producing originals or bank staff (Section 4 of the 1891 Act)
- Three new criminal law codes (including Bharatiya Sakshya Adhiniyam replacing the Evidence Act, 1872) came into force: 1 July 2024
- Landmark cases on electronic evidence certification: Anvar P.V. v. P.K. Basheer (2014), Arjun Panditrao Khotkar v. Kailash Kushanrao Gorantyal (2020)