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SC flags anomalies in SARFAESI law, seeks govt review
Hindustan Times Delhi
|September 24, 2025
The Supreme Court on Monday urged the Union finance ministry to review and amend the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, flagging “glaring anomalies” in its provisions that have created a “huge mess” in enforcement of secured debt and spawned an “endless pipeline of litigation.”
The ruling has significant implications for both borrowers and creditors.
(PT)
A bench of justices JB Pardiwala and R Mahadevan, while dealing with a batch of petitions arising from a 2023 Madras high court order concerning redemption of mortgages and borrowers’ loan accounts, said that the ill-wording of Section 13(8) of the SARFAESI Act and its mismatch with Rules 8 and 9 under the law had left creditors and auction purchasers “high and dry,” defeating the very mandate of the legislation.
Diese Geschichte stammt aus der September 24, 2025-Ausgabe von Hindustan Times Delhi.
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