Rajya Sabha Passes Bankers’ Books Evidence Bill 2026, Clears Way for Digital Records in Courts

The Rajya Sabha on Monday passed the Bankers’ Books Evidence Bill, 2026, paving the way for digital and virtual banking records to be recognised as admissible evidence in courts and replacing a British-era law governing evidence related to bankers’ books.

The bill, which was already passed by the Lok Sabha on August 5, seeks to bring the legal framework governing banking records in line with the country’s rapidly evolving digital banking ecosystem. It was passed in the Upper House by a voice vote.

Replying to the debate, Finance Minister Nirmala Sitharaman said the banking and financial sector had undergone significant changes over the past few decades with the emergence of non-banking financial companies (NBFCs), payment aggregators, fintech firms and other financial service providers.

She said these entities play an important role in meeting the financial needs of citizens and should, wherever required, be provided with a similar evidential framework.

Sitharaman said Clause 4 of the bill empowers the Centre to extend its provisions to other regulated financial entities through a notification. This, she said, would help establish a uniform evidential framework across the financial sector.

Under the new legislation, banking records can be produced in physical or electronic form, depending on the circumstances. The minister said the bill would strengthen public confidence by creating a clear, secure and transparent legal framework for using banking records in judicial proceedings while protecting customers’ privacy and confidentiality.

The passage of the bill was preceded by a political confrontation in the House. Opposition parties staged a walkout after the Chair disallowed their attempts to raise issues concerning the alleged theft or misappropriation of donations at the Ayodhya Ram temple and the alleged use of pellet guns against students and other protesters during the July 20 Sansad march.

The Opposition has demanded that Union Home Minister Amit Shah respond in Parliament to the allegations surrounding the protest.