A Comparative Study of SARFAESI Act 2002 and Other Tools Available For the Recovery of NPAs

Abstract

Rising non-performing assets is growing as a cancer in Indian banking sector. Almost all banks in India are affected with this death worthy disease. However, Government of India has enacted many legislatures to recover the dead amount of loan advanced by banks from time to time. Although all such laws have tried to recover the NPA's and these laws have proved successful to some extent. Still there is a need to investigate as which recovery mechanism has been more successful as compared to other tools. In this research paper, an attempt has been made to analyze the effectiveness of major recovery mechanisms in comparison of SARFAESI Act 2002.