Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Writ Petition |
Court | Supreme Court of India |
Disposal Nature | Others |
Headnote | Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002: s.2(1)(0) (as amended by Act 30 of 2004) ~ Constitutional validity of — Prior to amendment of s.2(1)(o) of the Act, NPA was defined as ‘an account of a borrower which has been classified’ by a creditor either ‘as a sub-standard asset or a doubiful asset or a loss asset’ of the creditor and such a classification is required to be made in accordance with the directions or guidelines relating to assets classification issued by the Reserve Bank — But, under the amended definition, such a classification of the account of a borrower by the creditor is required to be made in accordance with the directions or guidelines issued by an “authority or body either established or constituted or appointed by any law for the time being in force”, in all those cases where the creditor is either administered or regulated by such an authority — Whether the amended s.2(1)(0) amounts to class legislation — Held: Authorizing different regulators to prescribe different norms for the identification of a NPA with reference to different creditors do not amount to unreasonable classification for the reason that all the creditors do not form a uniform/ homogenous class — There are innumerable differences among the creditors based on the legal structure of the creditors’ organization, nature of the loan advanced by them, |
Judge | Hon'ble Mr. Justice Jasti Chelameswar |
Neutral Citation | 2015 INSC 72 |
Petitioner | Keshavlal Khemchandand Sons Pvt. Ltd. &others |
Respondent | Union Of India & Others |
SCR | [2015] 2 S.C.R. 51 |
Judgement Date | 2015-01-28 |
Case Number | 901 |
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