This is a petition under Article 226 of the Constitution for the issue of a writ of certiorari calling for the records connected with the notice dated 18th March, 1957, issued by the Reserve Bank of India, Madras, in DBO (M) No. L.I. 485/Ns. S-2 (L)-57 and quashing the same.

The Sajjan Bank (Private) Ltd., which is carrying on business at Alandur, originated from Sajjan & Co., Ltd., which was incorporated in November, 1944, with the main object of carrying on money-lending business. In May, 1946, the Company was converted into a banking company and in November of that year its name was changed into Sajjan Bank (Private) Ltd. All its shares are held by its three directors who are said to be closely related. The Banking Companies Act, 1949,. referred to hereafter as the Act, came into force on 16th March, 1949. Section 22 of the Act provided amongst other things that every banking company in existence at the commencement of this Act should before the expiry of six months from suck commencement and, every other company before commencing banking business, in India, apply in writing to the Reserve Bank for a licence under the section to carry on banking business. The section furt