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      Question

      A person had previously served as a director on the Board of a Public Sector Bank (PS

      • B for a total period of six years. After a gap, the same individual seeks nomination/election again as a director in the same PSB. In light of the disqualification provisions relating to past directorship in banks, which of the following statements correctly determines their eligibility?
      A Eligible, provided a reasonable cooling-off period has elapsed Correct Answer Incorrect Answer
      B Not eligible, but only if the six-year tenure was continuous without any break Correct Answer Incorrect Answer
      C Not eligible, since past directorship in the same bank is also counted for disqualification Correct Answer Incorrect Answer
      D Eligible, if the earlier tenure was in a non-executive capacity Correct Answer Incorrect Answer
      E Eligible, if there is a gap of at least one year between tenures Correct Answer Incorrect Answer

      Solution

      The provision clearly states that a person shall be disqualified if they have served as a director on the Board of any bank for six years, whether continuously or intermittently. A key clarification (and common exam trap) is provided in the Explanation, which explicitly includes the same bank within the meaning of “bank.” • Therefore, prior service in the same PSB cannot be excluded while computing the 6-year limit. • The disqualification is absolute, and not subject to conditions like cooling-off period, shareholder approval, or nature of directorship (executive/non-executive). Hence, once the aggregate tenure reaches six years, the person becomes ineligible for reappointment, even in the same bank.

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