Regulatory Framework of Securtisation & Reconstruction Companies in India
Dr. Rajesh Kumar
Assistant Professor, NUSRL, Ranchi
For providing solutions against the rising Non Performing Assets (Hereinafter referred as NPA), the government has constituted Narshimahan Committee, which has recommended for creation of Assets Recover funds to deal with the problem of NPA and bad debts. Accordingly, the Indian Parliament has created regulatory platform for Securitisation Companies and Restructuring Companies (hereinafter referred as SC/RC) under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, (`SARFAESI Act`) with an aim to provide a statutory framework to banks for recovery of bad debt and NPA.