Parliament passes Bankers’ Books Evidence Bill 2026, replacing 1891 law

The Rajya Sabha on Monday passed the Bankers’ Books Evidence Bill, 2026, replacing the colonial-era 1891 legislation with a contemporary legal framework that recognises electronic and digital banking records as evidence in courts.

The Lok Sabha had passed the Bill on August 5. With its passage by both Houses, the Bankers’ Books Evidence Act, 1891, will be repealed and replaced by the new legislation, which seeks to update the legal framework governing the use of bankers’ books and records in judicial proceedings.

The passage of the Bill marks a significant step towards modernising the evidentiary framework for banking records and aligning it with contemporary banking practices.

The Bill retains most provisions of the existing Act, including those allowing certified copies of bank records to be produced as evidence in court without requiring the original records to be submitted.

A key change is the explicit recognition of electronic and digital records of bankers’ books as admissible and legally valid evidence, subject to prescribed security safeguards.

Finance Minister Nirmala Sitharaman said the Bill recognises electronic and digital banking records, standardises the certification process and facilitates their admissibility as evidence.

It permits authentication through manual, digital and electronic signatures and strengthens the statutory protection available to bank officers when the bank is not a party to the proceedings.

“The Bill provides standardised certificate formats for certified copies of bankers’ books, whether maintained in physical or electronic form. It also introduces special cause as the basis for summoning bank officers in legal proceedings where the bank is not a party,” Sitharaman said.

She said the provision would ensure that bank officers are not unnecessarily summoned to court in disputes unrelated to the bank, while allowing electronic evidence to be produced and admitted when required.