Question
Which station of the amended SARFAESI Act allows for the
filing of a caveat by the lender in cases in which an appeal is expected?Solution
The Act was recently amended in January 2013 by The Enforcement of Security Interest and Recovery of Debts Laws (Amendment) Act, 2011, Section 18C of the new Act allows for the filing of a caveat by the lender in cases in which an appeal is expected. It takes away a major portion of the rights of the borrowers, as they will be unable to procure an ex-parte order if a caveat has been filed and the tribunal will compulsorily be required to hear the lender.
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