Payment of dividend by direct transfer to bank account

Dear Friends

This Question is on "Procedure to pay dividend by direct transfer to shareholders' bank account"

We are a private limited company and were paying dividend by warrant for last couple of years. This time, to move one step ahead, we are planning to pay dividend by direct transfer to bank account of shareholders'. As usual, we will open and fund dividend account in bank and bank will transfer dividend to shareholders' account.

But i came to know from the bank that it will be just "Online Payment" and not a "ECS", for which lot of procedure is prescribed by RBI.

I dont understand how it will be not a ECS.. and I too dont know what are the rules prescribed by RBI for ECS dividend payment.

Can anybody clarify. Also if possible, attach required notification in your anser.

Thanks in advance

Santosh