In Brief
UCO Bank challenged a nomination committee's decision that disqualified Saumyendra Roy Choudhury from standing for re-election as shareholder director based solely on age (over 65) and prior service (two terms). The Supreme Court held that the committee's decision was incomplete and violated Section 9(3AA) of the Banking Companies Act, 1970. The 'fit and proper' test requires comprehensive evaluation of multiple illustrative criteria—educational qualification, experience, expertise, track record, and integrity—without undue weightage to any single factor. The Court remanded the matter to the nomination committee to conduct a fresh assessment considering all criteria and applicable RBI and Ministry of Finance guidelines within four weeks.
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