Syed Nida 14 July 2017

symbolic possession under sarfaesi

dear members
if a symbolic possession of the property is taken and property is in the name of company but the symbolic possession notice was served only to the company and not it's directors and guarantors. Can a bank get the physical possession order from the court.

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4 Replies

Siddharth Srivastava (Advocate) 14 July 2017

Possession has already been taken by bank under SARFAESI Act and as such no further order is required for taking any further order for taking any further possession. Bank will obtain order for attachment and sale of the property. Consult with details.

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Syed Nida 14 July 2017

sir the bank has taken symbolic possession not physical possession. just I want to know whether the symbolic possession notice was to be served to guarantors also or not

Siddharth Srivastava (Advocate) 14 July 2017

Under law the bank has taken possession and hence as such no other requirement to again take the possession.No notice is required to be served to guarantor.

(Guest)

They would already have done so in the Demand Notice U/s 13(2) clearly mentioning that they will proceed ahead with Section 4.

Also, they would also have published the notice in TWO local news papers.

It does not matter on how and where and to whom the notice was served. They have a clear guideline in place in the Act and they would have done that. It is not mandatory for them to serve notice to each of the defaulter in person by chasing each person door to door. They have provisions even to Affix the notice on the disputed property.