narendra.s.p (Chief Manager(Law)) 20 November 2016

Amendments to sarfaesi rules

On 04/11/2016 the Security Interest [Enforcement] Rules, 2002 has have been amended. Now Banks need not take the consent of the Borrower/Guarantor/mortgagor to grant time to th Auction Purchaser to make payment. Sale By Private Agreement is made easy. No consent of Borrower/guarantor/Mortgagor is now required to be obtained by Banks for Auction By Private Sale. Formats for Tenant/Lessee to consider his objections is Provided at Annexure X.

These important amendments are published in Gazattee notification dated 04/11/2016 of Ministry of Finance. Log on to Gazette of India- Search a Gazette- Ministry of Finance- Month-November, 2016- date- 04/11/2016 - relevant from page 8 onwards.

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LAXMINARAYAN - Sr Advocate. ( solve problems in criminal cases. lawproblems@gmail.com) 20 November 2016

Still all the borrowers who are facing action under SARFESI ACT can contest the action of the banks to save property.

1) The documentation is defective so it can can be claimed that the bank is not a secured lender.

2) Even though the provision for tenants have been made in new law still even than it can be contested before DRT that the property is under occupation of tenants so it can not attached or sold.

we are doing it sucessfully in many cases.