Question

How many private commercial banks were nationalism in 1969?
1. 12
2. 13
3. 14
4. 15

Answer 1

Correct Answer - Option 3 : 14

The correct answer is 14.

• The Indian Government issued the Banking Companies (Acquisition and Transfer of Undertakings) Ordinance, 1969.
• With effect from the midnight of 19 July 1969, the Government of India nationalized the 14 largest commercial banks.
• These 14 banks contained 85 % of bank deposits in the country.
• Within two weeks of the issue of the ordinance, the Indian Parliament passed the Banking Companies (Acquisition and Transfer of Undertaking) Bill.
• On 9 August 1969, The bill received presidential approval.
• The Banking Companies (Acquisition and Transfer of Undertaking) Act was enacted to provide for the acquisition and transfer of the undertakings of certain banking companies in order to serve better the needs of the development of the economy in conformity with national policy and objectives and for matters connected therewith or incidental thereto.

• The 14 banks that were nationalized in 1969 were following:-
  1. Bank of Baroda
  2. Bank of India
  3. Allahabad Bank (now Indian Bank)
  4. Central Bank of India
  5. Bank of Maharashtra
  6. Canara Bank
  7. Dena Bank (now Bank of Baroda)
  8. Indian Bank
  9. Indian Overseas Bank
  10. Punjab National Bank
  11. UCO Bank
  12. Union Bank of India
  13. United Bank of India( now Punjab National Bank)
  14. Syndicate Bank (now Canara Bank)