The nationalized Banks are primarily the Company incorporated as Company for businessand trade under S-617 of Company Act,1956. The Nationalized Banks are also an instrumentality of STATE under Art.12 of Constitution of India and are for business and Trade under Art. 298 ofConstitution of India.Under the Banking Company (Acquisition and Transfer of Undertaking) Act, S.16(1) is all for Indemnity to Bank Officer, except Wilful Acts & Defaults. It reads as” S-16(1).”every custodian of a new corresponding bank and every officer of central government or of the reserve bank and every officer or other employee of a corresponding bank , shall be INDEMNIFIED by the discharge of his duties except such as have been caused by his own willful act or default”.