A bank has served Section 13(2) notice under the SARFAESI Act to the borrower and the co borrowers. however only the borrower has received the notice and the co borrowers notice left unserved.
Now the bank has initiated under sec 14 before CJM.
1. is it compulsory to serve the notice to the co borrower?
2. it is compulsory to publish 13 (4) notices?
thankyou
It is not necessary to serve a borrower or a co-borrower notice in S. 13 proceedings as the same is purely executionary in nature. So it follows that once a borrower has been given an opportunity to repay the indebted sum owed by it (but fail to make payment), no further opportunities can be given to it under either S. 13(4) or S. 14 of the Act.
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Lex Loretta
