Safeguard Mortgage Properties
Based on the SARFAESI Act, the bank / financial institutions in bid to recover the dues from the borrower, takes all the steps to secure physical possession of the mortgaged properties.
The few steps undertook by the bank to take the possession of the mortgaged properties are enlisted here-below;
- Notice to borrower u/s 13(2)
- Notice to borrower u/s 13(4) – Asking for Physical Possession
- Approach CMM Court / District Magistrate Office to obtain Order to obtain Forceful Physical Possession of Mortgaged Assets
- 14 Days’ Notice to Borrower to Hand Over the Physical Possession of the Secured / Mortgaged Assets
- Issue E-Auction Notice without Obtaining Physical Possession
- Issue E-Auction Notice After Obtaining Physical Possession
Steps we take to safeguard the physical possession of the mortgaged assets are enlisted here below:
- Timely objections and exhaustive submissions are filed against the Notice U/s 13(2) and 13(4).
- Periodically maintaining dialogue with the bankers on the reasons for becoming NPA and measures being pursued to resolve the debt
- Guidance being provided for monitoring the matters being filed for forceful possession at CMM Court and District Magistrate Office with suggestive measures to file appropriate application / objections with concerned DRT
- We urge the borrowers to take note of all the letters and notices sent by the bankers from time to time, and submit timely replies to all of them.
The whole idea of safeguarding the interest of the borrower in the mortgaged assets is to have a small leverage in the negotiations with the banks / financial institutions which will eventually enable healthy negotiations for debt resolution.