Legal Question in Banking Law in India

Sir,
sub: Sale of assets under Securitisation, Asset
Reconstruction and enforcement of Security
interest Act(SARFAESi)
Where an asset is jointly financed by a consortium of Banks and financial institutions, it is necessary for the selling bank to obtain the consent of 75% by value of all the secured creditors, so as to make a sale under the act. Now a days many banks are selling their debts to asset reconstruction companies or any private companies also. BY virtue of such assignment, even private companies who by the debt from the banks, become secured creditors as assignees of debts, but as per SARFAESI ACT, they are not classified as secured creditors. The question is
1.Whether the selling bank , in such a case need obtain the consent of the private companies who have bought the debts from the banks, for proceeding with the sale.
2.In case such a consent is not necessary, how can the bank a\effect the delivery of the property sold, wh\ithout the concurrence of the assignee.
the reply to the above may be sent to my e mail id; [email protected].
thanks
yours sincerely,
Muralidhar rao.d.

Asked on 4/06/10, 5:33 am

Sudershan Goel India Law Offices of Sudershan Goel - Advocate

0 users found helpful

0 attorneys agreed

The assignee may step into the shoes of the mortgagee and enjoy all rights available to them.

Answered on 4/07/10, 2:13 am

Keywords

Match Any Match All

Country

State

Area of Law