SARFAESI Act, 2002 - Civil Court Jurisdiction - Reg.
01-Dec-2023 (In Banking / Finance Law)
I have availed loan facility from a nationalized bank on mortgage of property for my business.I am not able to pay the outstandings immediately. Initially undertaking letters have been given to bank and accepted their terms and conditions at the time of sanctioning loan. All such undertakings executed by me were lapsed by March 2018. No further agreements made between me and the bank.The bank is renewing my account on its own periodically without my consent.Now the question is whether the bank has right to take steps against me as per SARFAESI Act or by approaching DRT to recover the due amounts when I have not executed any agreement/undertakings after March, 2018.Can I challenge this in a Civil/Consumer Court stating that bank has no such right to take action against me by applying SARFAESI Act or by approaching DRT without any of my undertakings and say that the bank is at liberty to recover dues only through a Civil Court. Is advance legal notice to bank is necessary. Advice me.
sarfaesi act doesn't require your permission. as long as loan exist, they can recover using sarfaesi and drt.
sarfaesi protects bank amount or any financial institutions.
if they do something without your consent, which affects you any manner, then you can get relief.
sarfaesi protects bank amount or any financial institutions.
if they do something without your consent, which affects you any manner, then you can get relief.
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