law: Banking Regulation Act, 1949
  23. Restrictions on opening of new, and
  
  transfer of existing, places of business
  (1) Without obtaining the prior permissions of
  
  the Reserve Bank-
  (a) no banking company
  
  shall open a new place of business in India or change otherwise than within the
  
  same city, town or village, the location of an existing place of business
  
  situated in India; and
  (b) no banking company
  
  incorporated in  India shall open a new
  
  place of business outside India or change, otherwise
  
  than within the same city, town or village in any country or area outside India , the location of an
  
  existing place of business situated in that country or area:
  PROVIDED that nothing in this sub-section shall
  
  apply to the opening for a period not exceeding one month of a temporary place
  
  of business within a city, town or village or the environs thereof within which
  
  the banking company already has a place of business, for the purpose of
  
  affording banking facilities to the public on the occasion of an exhibition, a
  
  conference or a mela or any other like occasion.
  (2) Before granting any permission under this
  
  section, the Reserve Bank may require to be satisfied by an inspection under
  
  section 35 or otherwise as to the financial condition and history of the
  
  company, the general character of its management, the adequacy of its capital
  
  structure and earning prospects and that public interest will be served by the
  
  opening or, as the case may be, change of location, of the place of business.
  (3) The Reserve Bank may grant permission
  
  under sub-section (1) subject to such conditions as it may think fit to impose
  
  either generally or with reference to any particular case.
  (4) Where, in the opinion of the Reserve Bank,
  
  a banking company has, at any time, failed to comply with any of the conditions
  
  imposed on it under this section, the Reserve Bank may, by order in writing and
  
  after affording reasonable opportunity to the banking company for showing cause
  
  against the action proposed to be taken against it, revoke any permission
  
  granted under this section.
  57[(4A) Any Regional Rural Bank requiring the
  
  permission of the Reserve Bank under this section shall forward its application
  
  to the Reserve Bank through the National Bank which shall give its comments on
  
  the merits of the application and send it to the Reserve Bank:
  PROVIDED that the Regional Rural Bank shall
  
  also send an advance copy of the application directly to the Reserve Bank.]
  (5) For the purposes of this section
  
  "place of business" includes any sub-office, pay office, sub-pay
  
  office and any place of business at which deposits are received, cheques cashed
  
  or moneys lent.]