law: Banking Regulation Act, 1949
  37. Suspension of business
  (1) The High Court] may on the application of
  
  a banking company which is temporarily unable to meet its obligations make an
  
  order (a copy of which it shall cause to be forwarded to the Reserve Bank)
  
  staying the commencement or continuance of all actions and proceedings against
  
  the company for a fixed period of time on such terms and conditions as it shall
  
  think fit and proper, and may from time to time extend the period so however
  
  that the total period of moratorium shall not exceed six months.
  (2) No such application shall be maintainable
  
  unless it is accompanied by a report of the Reserve Bank indicating that in the
  
  opinion of the Reserve Bank the banking company will be able to pay its debts
  
  if the application is granted:
  PROVIDED that the 163[High Court] may, for
  
  sufficient reasons, grant relief under this section even if the application is
  
  not accompanied by such report, and where such relief is grated, the 163[High
  
  Court] shall call for a report from the Reserve Bank on the affairs of the
  
  banking company;, on receipt of which it may either rescind any order already
  
  passed or pass such further orders thereon as may be just and proper in the
  
  circumstances.
  (3) When an application is made under
  
  sub-section (1), the High Court may appoint a special officer who shall
  
  forthwith take into his custody or under his control all the assets, books,
  
  documents, effects and actionable claims to which the banking company is or
  
  appears to be entitled and shall also exercise such other powers as the High
  
  Court may deem fit to confer on him, having regard to the interests of the
  
  depositors of the banking company.]
  (4) Where the Reserve Bank is satisfied that
  
  the affairs of a banking company in respect of which an order under sub-section
  
  (1) has been made, are being conducted in manner detrimental to the interests
  
  of the depositors, it may make an application to the High Court for the winding
  
  up of the company, and where any such application is made, the High Court shall
  
  not make any order extending the period for which the commencement or
  
  continuance of all actions and proceedings against the company were stayed
  
  under that sub-section.]