Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002

19th Dec, 2018

The time period of fifteen days prescribed by Section 13(3A) of the SARFAESI Act is only directory even though the compliance of the sub-section itself is mandatory

The Delhi High Court affirmed that compliance of Section 13(3A) of the SARFAESI Act is mandatory however, the period of fifteen days provided to the lender for responding to the objections of the borrower is […]
23rd Oct, 2018

SARFESI Act 2002 has an overriding effect on other laws, including Code of Civil Procedure

A peculiar situation came before the Bombay High Court in the matter of M/s Corporation Bank vs. Hon’ble Chief Metropolitan Magistrate (Writ Petition No. 11729/2018) which was decided on 22nd October, 2018. In this matter […]
2nd May, 2017

Sale of a property by Bank invoking SARFESI is as good as sale made by borrower

Madras High Court in the matter of R. Arumugasamy Vs Authorised officer; Review Petition no. 82 and 83 of 2016 held that where there is more than one property mortgaged with the secured creditor, it […]
9th May, 2016

Partial amount deposited as precondition for entertaining appeal U/s 18 of SARFAESI Act neither secured asset nor a lien #indianlaws

The partial deposit before the DRAT as a pre-condition for considering the appeal on merits in terms of Section 18 of the Act, is not a secured asset. It is not a secured debt either, […]
3rd Apr, 2016

Writ Petitions against order passed by DRT in exercise of jurisdiction U/s 17 of the SARFAESI Act cannot be entertained #indianlaws

Writ petition under Article 226 of the Constitution should not be entertained when the alternate remedy is available under the Act, unless exceptional circumstances are made out. The writ remedy cannot be permitted to be […]
24th Feb, 2016

SARFAESI prevails over the Sick Industrial Companies (Special Provisions) Act #indianlaws

The Supreme Court was observed that the purpose of the two enactments is entirely different. The purpose of one is to provide ameliorative measures for reconstruction of sick companies, and the purpose of the other […]
31st Jan, 2016

Provisions of the SARFAESI Act cannot be used to override the provisions of Rent Control Act #indianlaws

Supreme Court held that a landlord cannot be permitted to do indirectly what he has been barred from doing under the Rent Control Act, more so when the two legislations, that is the SARFAESI Act and […]
2nd Jan, 2016

Proceedings by a secured creditor under SARFAESI Act cannot be interfered with by a Company Judge under the Companies Act #indianlaws

The required provisions of the Companies Act are incorporated in the SARFAESI Act for harmonizing the SARFAESI Act with the Companies Act in respect of dues of workmen and their protection under Section 529 A […]
12th Aug, 2015

Appellate Tribunal has the jurisdiction to condone the delay in filing an appeal under Section 18 (1) of the SARFAESI Act#indianlaws

The Supreme Court held that delay in filing an appeal under Section 18 (1) of the SARFAESI Act can be condoned by the Appellate Tribunal under proviso to Section 20 (3) of the RDB Act […]
28th Sep, 2014

DRAT can transfer appeal/ application under Section 17 of the SARFAESI Act from one DRT to another DRT #indianlaws

The issue for discussion before the Court was that the appeal/ application under Section 17 of the SARFAESI Act is maintainable only before the DRT within whose jurisdiction the asset/property with respect to which the […]
29th Oct, 2013

Jurisdiction of Civil Court vis-à-vis Scope of Section 34 of the SARFESI

A Civil Court has no jurisdiction to entertain any suit or proceedings in respect of matters falling under Section 13(4) of the Securitisation Act as such matters comes under the jurisdiction of the DRT and […]
12th Sep, 2013

Unnecessary adjournments must not be granted by the DRT

Debt Recovery Tribunal(s) are constituted to ensure expeditious disposal of controversies/ issues between the banks and borrowers in the larger public interest.