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Searching Case Laws & Precedent on Legal Query.....!
Analysing the retrieved Case Laws
Scanned Judgements…!
Publication of Possession Notice within 7 Days - Law mandates that possession notices under certain statutes (e.g., SARFAESI Act) should be published in newspapers as soon as possible but not later than 7 days from the date of taking possession. This publication must be in at least two leading newspapers, including vernacular language, and must be done promptly to comply with legal requirements ["2022 Supreme(Online)(CIC) 6751"], ["Ch. Govardhan Reddy vs M/S. Ra Pure Life Sciences Ltd - Telangana"], ["2023 0 Supreme(Telangana) 278"], ["2023 0 Supreme(Telangana) 139"].
Inclusion of Possession Date in Publication - The legal provisions specify that the possession notice should be published as soon as possible but explicitly emphasize that it must be published within 7 days of taking possession. The actual possession date is not necessarily included in the publication; rather, the focus is on timely publication following possession. Some judgments clarify that the publication should occur promptly after possession, and delays beyond 7 days may invalidate proceedings or lead to legal challenges ["2022 Supreme(Online)(CIC) 6751"], ["Ch. Govardhan Reddy vs M/S. Ra Pure Life Sciences Ltd - Telangana"], ["2023 0 Supreme(Telangana) 278"].
Main Points & Insights:
The actual date of possession is generally separate from the publication date, but the publication must follow soon after possession.
Analysis & Conclusion:
References:- 2022 Supreme(Online)(CIC) 6751- INDS_TS_W_P_NO_2109_OF_2020- 2023 0 Supreme(Telangana) 278- 2023 0 Supreme(Telangana) 139
In the high-stakes world of loan recovery, often rely on the , to reclaim immovable properties from . A common question arises: Whether a secured creditor is required to serve a possession notice before taking of ? This issue is critical for , , and borrowers alike, as procedural missteps can invalidate recovery actions.
This blog post delves into the statutory requirements under (SARFAESI Rules), judicial interpretations, and practical implications. We'll clarify the timeline for serving and publishing the possession notice, addressing whether the 7-day publication period includes the date of possession itself. Note: This is general information based on legal precedents and statutes; consult a qualified lawyer for advice specific to your situation.
Under , a secured creditor can take possession of secured assets upon borrower default after issuing a demand notice under Section 13(2). Rule 8 of the SARFAESI Rules governs this process for :
This indicates that possession is taken simultaneously with serving the notice, not beforehand. No prior service is mandated; the notice accompanies the act of taking possession. Delivering and affixing the notice formalizes .
Publication follows under : The possession notice... shall also be published, as soon as possible but in any case from the date of taking possession in two newspapers, one in vernacular language. 2025 0 Supreme(SC) 1723 2018 0 Supreme(SC) 1107
Thus, are not required to serve the possession notice before taking . Instead, service occurs at the time of possession, with publication required promptly thereafter.
A key interpretive question is whether from the date of taking possession counts the possession date as Day 1. Judicial and statutory analysis generally supports inclusion of the possession date:
The phrase from the date of taking possession typically includes the starting day in Indian legal reckoning, aligning with principles in statutes like the . This ensures prompt notice to third parties, protecting stakeholder rights. 2025 0 Supreme(SC) 1723 2018 0 Supreme(SC) 1107
For instance, one case noted non-compliance where publication lagged beyond 7 days, underscoring strict adherence. 2023 Supreme(Online)(TS) 1
To ensure validity:- Take possession by delivering notice to borrower and affixing it publicly. 2022 1 Supreme 275- Publish immediately: Aim for same day or next, but no later than Day 7 (including possession date).- Preserve assets: Under , insure and protect until sale. 2018 0 Supreme(AP) 58
Timeline Example (assuming possession on Day 1, Monday):1. Day 1: Take possession, deliver/affix notice.2. Day 1-7: Publish in two newspapers.3. Deadline: By end of Day 7 (Sunday).
Failure risks borrower challenges under before (). 2022 1 Supreme 275
Several judgments reinforce these rules while highlighting nuances:
In auction disputes, must verify ; tainted sales without proper possession notice invite refunds. 2018 0 Supreme(AP) 58
Other contexts, like , analogize notice timelines, requiring delivery within 30 days post-order, but SARFAESI prioritizes speed. 2021 0 Supreme(Guj) 1200 2021 Supreme(Online)(Guj) 8553
In summary, under SARFAESI need not serve possession notice before taking —it's concurrent. The 7-day publication window includes the possession date, promoting swift transparency. While interpretations favor inclusion, courts balance strictness with substance. Stay compliant to safeguard recovery processes.
References:- 2025 0 Supreme(SC) 1723, 2018 0 Supreme(SC) 1107, 1987 0 Supreme(AP) 546, 2022 1 Supreme 275, 2019 0 Supreme(Bom) 59, 2018 0 Supreme(AP) 58, 2023 Supreme(Online)(TS) 1, 2019 0 Supreme(Telangana) 360
This post provides general insights; legal outcomes vary by facts. Seek professional counsel.
#SARFAESI #PossessionNotice #BankingLaw
However, in the event the petitioners not being successful in the auction or while exercising right to first refusal, the petitioners would have to vacate the premises within a period of 30 days from the date of confirmation of auction in favour of the successful bidders. v. ... Learned HCGP accepts notice for respondent No.1. Sri.Mahesh.S, learned counsel accepts notice for respondent No.2. 2. ... Sri.Ma....
Sub rule 2- the session notice in Appendix IV. as referred to in Sub-rule (7), published, as soon as Possible but in any case not later than seven days from the date of taking possession. in two leading newspaper, one in vernacular language having sufficient circulation in our locality by the authorized ... Rule 8(1) mandates of "Appendix IV, the Possession#HL....
This requirement was not observed. Further, as required by sub rule 2, the possession notice should also be published as soon as possible but not later seven days than from the date of taking possession in two leading newspapers. Even this was not followed. ... 6) as well. ... As held by the Tribunal, further 30 #HL_....
This requirement was not observed. Further, as required by sub rule 2, the possession notice should also be published as soon as possible but not later seven days than from the date of taking possession in two leading newspapers. Even this was not followed. ... 6) as well. ... 7.4. The Tribunal gro....
The documents also reveal that, the BDA in the original plan regarding Nagarabhavi 2nd Stage did not include the property, which is the subject matter of the writ petition. It is only later that the additional plan is prepared where a layout is sought to be formed on the property of the petitioner. ... The expression 'paid' in the main part of Section 24(2) of the 2013 Act does not include a deposit of co....
by the State Government within 30 days of service of notice. ... Therefore, a notice in the form of an order was prescribed in sub-section (5) to deliver the possession within 30 days of service of the notice. 19. There is no question of any voluntary handing over of possession on the part of the land owner. ... In these circumstances, if the possession#HL_END....
by the State Government within 30 days of service of notice. ... In these circumstances, if the possession is not handed over within 30 days of service of notice under Section 10(5), it will amount to failure to comply with the order under sub-section (5) and thereafter whenever the possession is taken by the State authorities, even though after 6 years, as it has ... T....
Any person to claim ‘bona vacantia’ or ‘Escheat’ property as his, the time prescribed is three months from the date of publication. ... Under Section 11(1) of the Act after the property is taken into custody by the concerned officer, a notice shall be published in the prescribed manner calling upon any person who may have interest in such property to make their claim within three months from the date of publicati....
It is well-settled law that publication of the declaration under Section 6 gives conclusiveness to public purpose. Award was made on 26.9.1986 and for Survey No. 2/11 award was made on 31.8.1990. ... The petitioner was also given a default/cancellation notice on 2.5.2017 asking him to deposit an amount of Rs. 6,81,22,500.47 within 15 days failing which, the lease would be deemed cancelled and the possession#HL_EN....
not delayed for 44 days as alleged by the 2nd and 3rd Respondents or 31 days as held by the 1st Respondent herein. ... over of keys would go towards the physical possession of the said property and not the delivery of vacant possession. ... [25] Therefore, the computation of the period for delivery of vacant possession of the said property must be based on the #HL_STAR....
It is submitted that Rule 8(1) of the Rules, 2002 mandates that where the secured assets is an immovable property, the authorized officer of the secured creditor shall take or cause to be taken possession, by delivering the possession notice prepared as nearly as possible in Appendix-IV of the said Rules, to the borrower and by affixing the possession notice on the outer door or at the conspicuous space of the property. It is submitted that Rule 8(2) of the said Rules also mandates t....
At this juncture, it would be relevant to extract Rule 8 (2) of the Rules which is as under: Admittedly, respondent No.5 got published the said possession notice in Indian Express and Andhra Prabha on 10.10.2014. There is no dispute with regard to the publication of the said possession notice in the said newspapers as contemplated under Rule 8 (2) of the Rules. “The possession notice as referred to in sub-rule (1) shall also be published, as soon as possible but in any case not later....
Secondly, the DRT and DRAT had fallen into error in construing Rule 8(2) of the said Rules, as mandatory. It was submitted that the phraseology of Rule 8(2) and nonprescription of any consequence of nonobservance of the condition of publication of the possession notice in the newspapers within 7 days, lead to the only conclusion that seven days time for publication of the possession notice in the newspapers is directory.
[The possession notice as referred to in subrule (1) shall also be published, as soon as possible but in any case not later than seven days from the date of taking possession, in two leading newspapers], one in vernacular language having sufficient circulation in that locality, by the authorised officer. {Ins. by G.S.R. 1046(E), dt. 3-11-2016 (w.e.f. 4-11-2016)}. [(2-A) for “The possession notice as referred to in sub-rule (1) shall also be published in two leading newspaper”....
Rule 8(2) requires such possession notice to be published in two newspapers not later than seven days. Rule 8(4) states that the authorized officer shall take steps for preservation and protection of secured assets and insure them, if necessary, till they are sold or otherwise disposed of. Rules 8 and 9 of the Security Interest (Enforcement) Rules, 2002 (for brevity, the Rules of 2002) deal with sale of immovable secured assets, time of such sale, issuance of the sale certifi....
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