Parliament passes Bankers’ Books Evidence Bill to recognise digital banking records as legal evidence
Aug 10, 2026
Parliament has passed the Bankers’ Books Evidence Bill, 2026, paving the way for electronic and digital banking records to be formally recognised as legal evidence in judicial proceedings.
The Rajya Sabha passed the Bill on Monday after it was earlier approved by the Lok Sabha. Union Finance Minister Nirmala Sitharaman moved the legislation, which seeks to modernise the legal framework governing evidence related to bankers’ books and bring it in line with contemporary banking practices.
The Bill provides that electronic or digital records of bankers’ books will be admissible, valid and legally enforceable as evidence.
Participating in the discussion on the Bill, Sitharaman described the legislation as a “reformative step” that would help the country move forward at a faster pace. She pointed out that the existing Bankers’ Books Evidence Act was enacted in 1891, at a time when banking systems were almost entirely paper-based.
The Finance Minister said India has made significant progress in digitising its economy, with banking and financial transactions now largely conducted through digital platforms, often with just a few clicks on a mobile phone.
Against this backdrop, she said, the legal framework must evolve to keep pace with technological advancements. The existing 1891 law relies heavily on certified copies of physical bank records for their use as evidence in legal proceedings.
The new legislation establishes a technology-neutral framework for bankers’ records and formally recognises electronic and digital banking records. It also seeks to standardise the certification process and permits authentication through manual, digital and electronic signatures.
The legislation is expected to make the process of presenting banking records as evidence more efficient and better suited to India’s increasingly digital financial system.
