(1) This Act may be called the Payment and Settlement Systems Act, 2007.
(2) It extends to the whole of India.
(3) It shall come into force on such date1 as the Central Government may, by notification in the Official Gazette, appoint and different dates may be appointed for different provisions of this Act, and any reference to the commencement in any such provision of this Act shall be construed as a reference to the commencement of that provision.
1. 12th August, 2008, vide notification No. S.O. 2032(E), dated 12th August, 2008, see Gazette of India, Extraordinary, Part II, sec. 3(ii).
Simplified Explanation
Section 1 of the Payment and Settlement Systems Act, 2007 outlines some key aspects of the Act, including its short title, scope, and commencement. Let’s break it down:
- Short Title:
- The Act is officially called the Payment and Settlement Systems Act, 2007. This title provides a broad indication of the Act’s focus—regulating payment systems and settlement mechanisms in India.
- Extent:
- The Act applies to the whole of India, meaning it covers all regions, states, and territories under Indian jurisdiction.
- Commencement:
- The provisions of this Act come into effect on a date appointed by the Central Government through a notification in the Official Gazette.
- The Act allows for different provisions to come into force on different dates. This means that the government may implement specific sections of the Act at different times to manage the transition or allow for preparedness.
- Any reference to the commencement of the Act (or its provisions) refers to the particular date when those provisions come into force.
- For example, in this case, 12th August 2008 was the date when the Act came into force as per the notification (S.O. 2032(E)) issued by the Government. This means that from this date, the Act started to apply in full or in parts, depending on the specific provisions being invoked.
In summary, Section 1 sets the foundational details for the Act—its name, the geographic scope, and the timeline for when it began to operate.
