Whether the property mortgaged would come under the definition of ‘agricultural land’ coming under Section 31(i) of the SARFAESI Act is a disputed question of fact which is to be adjudicated by the Debts Recovery Tribunal – Thara Philip Vs. Federal Bank Ltd. – Kerala High Court
Hon’ble High Court held that the SARFAESI Act is a self-contained code. Though the bank and financial institutions would no longer have to wait for a tribunal judgment to take direct action against the debtors by taking possession of secured assets and selling them, the statute provides an effective remedy to challenge the proceedings by an aggrieved person in Section 17 of the SARFAESI Act. Sub-section (3) of Section 17 of the SARFAESI Act gives ample power to the Tribunal to interfere with the measures taken by the banks and financial institutions under Section 13. Provision for an appeal to challenge the orders passed by the Debts Recovery Tribunal is also provided under Section 18 of the SARFAESI Act. Therefore, the SARFAESI Act is a complete code providing effective and efficacious remedy to any person aggrieved by the proceedings initiated under Section 13.
