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sukhbir singh (Businessman)     31 July 2010

Possession Notice under SARFAESI

Can a Bank take symbolic possession by pasting possession notice on a residence which is being lived in by the borrower family and also simultaneously publish the same in the newspapers while the case is pending in the DRT and the next date was very close to hearing.

The Bank had also been given notice to the effect that the party has filed a stay order for such an action which was posted for hearing three days after the notice duly served through DRT in between two days being holidays.


 3 Replies

Uday (Lawyer)     31 July 2010

Since there is no stay in your case, the bank can possess the property. The bank can affix the possession notice on taking the symbolic possession and they have to also publish the possession notice in 2 dailies since the same has been mandatory under the act.

sukhbir singh (Businessman)     31 July 2010

Thanks.  Was there no requirement of giving a written notice.  

Virender Negi (Lawyer)     01 August 2010

Action under SARFAESI and case at DRT under RDDB act both are indipendent proceedings.. and the Bank/FI is free to initiate action in the absence of any stay order. further, unless and untill a stay order is passed by court, mere filing of application for stay can not stop the Bank/FI from taking action.

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