Central Registry under SARFAESI: a practical guide to CERSAI for lenders, borrowers, and investors

BRBL, Loans and advances

The Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI) is the nationwide database that records securitisation, reconstruction, and security interest transactions to prevent multiple financing and improve transparency in credit markets. It enables time-stamped filings, public search, and statutory recognition of entries relating to charges on movable and immovable assets, thereby…

Enforcement of Security Interest under SARFAESI: A practical guide for bankers and borrowers

BRBL, Loans and advances

The SARFAESI Act provides a clear, time-bound pathway for secured creditors to enforce security interests without initial court intervention, while preserving borrower remedies and safeguards at each step. This guide explains the notice process, possession and management takeover, magistrate assistance, appeals, and borrower rights in a concise, practitioner-friendly format. When enforcement starts Core enforcement measures…

Regulating ARCs under SARFAESI: A practical guide for banks, lenders, and investors

BRBL, Loans and advances

India’s SARFAESI Act sets a clear, end-to-end playbook for how Asset Reconstruction Companies (ARCs) are registered, how they acquire stressed assets, how obligors are notified, how security receipts are issued, what measures ARCs can deploy to resolve assets, how disputes are addressed, and the supervisory powers available to the Reserve Bank of India (RBI) to…

Regulating Securitisation and Asset Reconstruction: A Practical Guide for Banks and FIs

BRBL, Loans and advances

The SARFAESI framework establishes how securitisation and asset reconstruction companies (ARCs) are licensed, governed, and supervised, and how financial assets are acquired, managed, and resolved, with clear roles for obligors, investors, and the Reserve Bank of India. This article synthesizes the operational touchpoints a banking audience needs: licensing and cancellation, asset acquisition mechanics, obligor notices…

Understanding the SARFAESI Act, 2002: Constitutionality, Key Definitions, and Framework for Asset Recovery in Indian Banking

BRBL, Loans and advances

The SARFAESI Act, 2002 is a cornerstone law empowering banks and financial institutions in India to recover non-performing assets swiftly, primarily by allowing the enforcement of security interests without prior court intervention. Indian courts have affirmed the constitutional validity of the Act, ensuring its mechanisms are both effective and just. Preamble and Overview The full…