law: The Small Industries Development Bank of India Act, 1989 
  Business of the Small Industries Bank
  15. Borrowings and
  
  acceptance of deposits by the Small Industries Bank 
  1.     
  
    The
  
  Small Industries Bank any, for the purpose of carrying out its functions under
  
  this Act,-
  a.     
  
    Issue
  
  and sell bonds and debentures with or without the guarantee of the Central
  
  Government;
  b.    
  
    Borrow
  
  money from the Reserve Bank-
                       
  
   i.        
  
    Repayable
  
  on demand or on the expiry of the fixed periods not exceeding ninety days from
  
  the date on which the money is so borrowed against the security of stocks,
  
  funds and securities (other than immovable property) in which a trustee is
  
  authorised to invest trust money by any law of the time being in force in
  
  India;
                      
  
   ii.        
  
    Against
  
  bills of exchange or promissory notes arising out of bona fide commercial or
  
  trade transactions, bearing two or more goods signatures and maturing within
  
  five years from the date of the borrowing;
                     
  
   iii.        
  
    Out
  
  of the National Industrial Credit (Long Term Operations) Fund established under
  
  section 46C of the Reserve Bank of India Act, 1934 (2 of 1934), for any of the
  
  purposes specified in that section;
  a.     
  
  
  b.     
  
  
  c.     
  
    Borrow
  
  money from the Development Bank or such other authority, organisation or
  
  institution as may be generally or specially approved by the Development Bank;
  d.    
  
    Accept
  
  deposits repayable after the expiry of such period and on such terms as may be
  
  generally or specially approved by the Development Bank.
  1.     
  
  
  2.     
  
    The
  
  Central Government may, on a request being made to it by the Small Industries
  
  Bank, guarantee the bonds and debentures issued by that Bank as to the
  
  repayment of principal and the payment of interest at such rate as may be fixed
  
  by that Government.