Legal Question in Credit and Debt Law in India

24.01.2013

Dear Sir / Madam, (Dahanu / Talasari - Thane)

In the SARFAESI Act, 2000 "financial asset" means debt or receivables and includes--

(i) a claim to any debt or receivables or part thereof, whether secured or unsecured; or

(ii) any debt or receivables secured by, mortgage of, or charge on, immovable property; or

(iii) a mortgage, charge, hypothecation or pledge of movable property; or

(iv) any right or interest in the security, whether full or part underlying such debt or receivables; or

(v) any beneficial interest in property, whether movable or immovable, or in such debt, receivables, whether such interest is existing, future, accruing, conditional or contingent; or

(vi) any financial assistance;

Immoveable property includes land, be it agricultural or non-agricultural. The debt recovery tribunal is entitled to attach an agricultural property under the Act.

Regards,

FCA Prashant Chavan

Mumbai

(You can also mail me for any further on-line advice at [email protected])

DRT does not attach under SARFAESI Act. DRT attaches under a different Act.