1 month ago
Lok Sabha Passes Bill Recognising Digital Bank Records As Evidence
A very old law from the year 1891 said that banks had to keep their records on paper for them to be used as proof in court.
Today, banks keep almost everything on computers and in the cloud instead of paper.
So the government made a new law to match how banks work now.
The new law is called the Bankers' Books Evidence Act, 2026.
It says that digital, electronic and cloud-based bank records can be used as evidence in court.
The law also allows certificates to be signed with a digital signature instead of a pen.
India's Parliament, called the Lok Sabha, approved this new law on Wednesday.
The Finance Minister, Nirmala Sitharaman, presented the law to Parliament.
Some opposition members were shouting and the law was approved without a discussion.
This change makes it easier for courts to accept modern bank records as proof.
The Lok Sabha passed the Bankers' Books Evidence Bill, 2026 by a voice vote without debate amid opposition sloganeering.
The new Bankers' Books Evidence Act, 2026 will replace the British-era Bankers' Books Evidence Act, 1891.
The Bill expands the definition of 'bankers' books' to include physical, electronic, digital, virtual, cloud-based and other forms of bank records.
Finance Minister Nirmala Sitharaman moved the Bill for consideration and passage as the House continued to face disruptions.
The Bill proposes standardised certificate formats, allows manual, digital or electronic signatures, and empowers the central government to extend its applicability to financial sector entities.
- Who
- The Lok Sabha, with Finance Minister Nirmala Sitharaman moving the Bill, amid protests from opposition members.
- What
- Passed the Bankers' Books Evidence Bill, 2026 to recognise digital and virtual bank records as admissible evidence in court.
- Where
- In the Lok Sabha, the lower house of India's Parliament.
- When
- Introduced in the Lok Sabha on Monday and passed by voice vote on Wednesday.
- Why
- To modernise the British-era evidence law so it keeps pace with the digital dependence of the modern banking system.
Key facts
- New legislation
- Bankers' Books Evidence Act, 2026
- Replaces
- Bankers' Books Evidence Act, 1891
- Moved by
- Finance Minister Nirmala Sitharaman
- Passing method
- Voice vote, without debate, amid opposition sloganeering
- Scope
- Physical, electronic, digital, virtual, cloud-based and other forms of bank records
- Introduced
- Monday in the Lok Sabha
- Passed
- Wednesday in the Lok Sabha
Quotes
Finance Minister Nirmala Sitharaman
Member of Parliament and Minister of Finance
“"With the advancement of technology and growth of digital banking, bank records are increasingly created, stored and maintained using contemporary technology (instead of physical record). It has, therefore, become necessary to modernise and strengthen the existing legal framework to meet the requirements of the present banking system."”
NDTV
“The Bill was moved by Finance Minister Nirmala Sitharaman for consideration and passage amid din.”
NDTV







