The Bankers’ Books Evidence Act, 1891 is a law that explains how banks should give evidence in court. Before this Act existed, banks had to take their actual account books and original registers to court whenever a case required bank records. This caused many problems because banks needed those books for daily work, and there was always a risk of damage or loss.
So, this Act was created to make things easy for both banks and courts by allowing certified copies of bank documents to be used as evidence instead of the original ones.
Why Was This Act Needed?
In the late 1800s, banking in India was growing quickly. Many new banks were opening, and India was under British rule at that time. The question was:
👉 Should Indian banks follow the Indian rules of evidence or the British rules?
Since British laws were already developed, the British government decided to introduce the Bankers’ Books Evidence Act, 1879 (UK law) into India. This resulted in the creation of the Bankers’ Books Evidence Act, 1891 for India.
Even after independence, the law continued in:
- India
- Pakistan
- Bangladesh
because it proved to be very useful.
What Does the Act Actually Say?
The Act has one main idea: Banks don’t have to take their original books to court. A certified copy is enough.
This means: A photocopy, printout, or computer copy signed and certified by the bank can be treated as true evidence just like the original document.
This saves time, protects original documents, and avoids disturbing daily bank operations. It also defines what “Bankers’ Books” are. These include:
- Ledgers
- Cash books
- Day books
- Account books
- Any record used in banking work
Update Through IT Act, 2000 – Modern Technology Added
Originally, the Act applied only to paper registers. But banking has changed a lot. Everything is now stored on computers. So, the Information Technology Act, 2000 updated the definition of Bankers’ Books. Now Bankers’ Books include:
- Computer records
- Digital files
- Printouts
- PDFs
- Server data
- Files stored in external drives
👉 This means banks can give evidence in digital form — no need for paper.
This is very important today because almost all banking operations are online.
Why Is This Act Important Today?
This Act is extremely useful because:
- Banks do not have to carry their original books to court.
- Certified copies or computer printouts are enough.
- It saves time for banks and courts.
- It protects original documents from damage/loss.
- It supports e-banking and digital evidence.
- It is helpful in cases involving:
- Bank fraud
- Loan recovery
- Cheque bounce cases
- Cybercrime
- Money laundering
- Account disputes
Important Court Cases Under This Act
Several important cases have used this Act to decide how banking evidence should be accepted:
- ICICI Bank Ltd. vs. Kapil Dev Sharma
- Sonu and Amar vs. State of Haryana
- Om Prakash vs. CBI
- Ashoka Chemicals vs. Bharatiya Hindu Shudhi Sabha Trust
- Ishwar Das Jain vs. Sohan Lal
- Radheshyam G. Garg vs. Safiyabai Ibrahim Lightwalla
These cases helped courts understand how certified copies and electronic records should be treated.