director's liability under sarfaesi act

Querist : Anonymous (Querist) 31 March 2011 This query is : Resolved
dear experts,
please educate me as to the liability of a director(other than managing director) under sarfaesi act for the debts due to bank by the company in which he is a director.This director did not give any guarantee for the debts.
does the fact that the director in question is an independent director make any difference?

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c.p.s. ramachary (Expert) 16 April 2012
SARFAESI Act deals with secured assets (whether movable or immovable)only and not with director-cum-guarantor's libility or director's liability

DEFENSE ADVOCATE.-firmaction@g (Expert) 16 April 2012
The problem comes when the debts are not recovered by sale of property.

Though Director is not legally responsible and even can not give personal guarantee in normal court but it is seldom followed.

So if need arise you should be ready with proper legal expert assistance.

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