📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!
  • google app store apple app store
    • ✖

      Question

      As per Section 14 (proviso inserted by Act 1 of 2013),

      what is the period within which the District Magistrate or Chief Metropolitan Magistrate must pass orders for taking possession of the secured asset after receiving the affidavit from the authorised officer?
      A 60 days, extendable to 90 days Correct Answer Incorrect Answer
      B 15 days, extendable to 30 days Correct Answer Incorrect Answer
      C 45 days, not extendable Correct Answer Incorrect Answer
      D 90 days, extendable to 120 days Correct Answer Incorrect Answer
      E 30 days, extendable to 60 days in aggregate Correct Answer Incorrect Answer

      Solution

      The proviso to Section 14(1), as amended, mandates that on receipt of the affidavit from the authorised officer, the DM or CMM shall pass suitable orders for taking possession within 30 days from the date of application. If, for reasons beyond the DM/CMM's control, no order is passed within 30 days, the same may be passed within a further period - but the total aggregate period shall not exceed 60 days. The reasons for delay beyond 30 days must be recorded in writing. This two-tier time limit structure was introduced by Act 44 of 2016 to ensure timely assistance to secured creditors and prevent undue delay in possession proceedings.

      Practice Next
      More Banking Related Laws Questions
      ask-question