SARFAESI, DRT & IBC Panel Counsel
for NBFCs & Housing Finance Companies

Yes. SARFAESI Act 2002 was amended to include NBFCs as "secured creditors" for the purpose of enforcement of security interests. NBFCs with asset size above ₹100 crore and loan accounts classified as NPA with security interest registered under CERSAI are entitled to initiate SARFAESI enforcement. Unified Chambers advises NBFCs on SARFAESI eligibility, CERSAI registration review, and full Section 13 enforcement.

RBI's Scale Based Regulation (SBR) framework (effective October 2022) classifies NBFCs into four layers (NBFC-BL, NBFC-ML, NBFC-UL, and NBFC-NDSI). Upper Layer and Middle Layer NBFCs face enhanced NPA recognition norms, provisioning requirements, and recovery obligation disclosures. Unified Chambers advises on the legal recovery strategy consistent with SBR NPA reporting obligations and assists in timely OA filings to meet provisioning timelines.

Yes. Housing Finance Companies (HFCs) are "financial institutions" under the RDDB Act and are entitled to file Original Applications at DRT for recovery of housing loans above ₹20 lakhs. SARFAESI enforcement is also available to NHB-registered HFCs on registered mortgage security. Unified Chambers represents HFCs in both DRT and SARFAESI proceedings across India.

The process begins with an inquiry (email, WhatsApp, or the inquiry form below). We provide the firm profile package — enrollment certificates, academic credentials, GST and PAN, and matter experience overview. After a review call discussing your NBFC's NPA portfolio composition, preferred courts, and volume, an empanelment agreement is executed. First matter referrals can proceed immediately.

Yes. For unsecured NBFC loans (personal loans, business loans without mortgage security), recovery options are: DRT OA if the NBFC qualifies as a financial institution and the debt exceeds ₹20 lakhs, or summary suit under Order XXXVII CPC in the civil court. Unified Chambers handles both routes, including arbitration clauses where the loan agreement provides for arbitration.

Our team has detailed practice in the RBI Master Direction on NBFC Scale-Based Regulation, particularly the SMA-0/1/2 classification timeline (1-30 days, 31-60 days, 61-90 days SMA), provisioning triggers under the revised IRAC norms, the resolution timeline under the June 2019 RBI Prudential Framework for Resolution of Stressed Assets, and the ICA (Inter-Creditor Agreement) requirements for consortium accounts where the NBFC is a member lender. The firm advises NBFC legal and recovery teams on translating these RBI directives into recovery action — including timing of OA filings, SARFAESI initiation, IBC reference, and inter-creditor coordination.

Yes. NBFCs that participate in consortium loans alongside banks face distinct legal challenges — voting rights under the ICA, priority disputes between secured creditors, the lead-bank dependency for SARFAESI initiation, and the IBC voting weightage under Section 21(2) of the IBC. Our partner-led team advises NBFCs on consortium documentation, negotiates ICA amendments, represents the NBFC in JLF meetings, and pursues parallel SARFAESI / DRT / IBC recovery aligned with the consortium strategy.

Sectoral coverage includes: real estate NBFC NPA (LRD, project finance, RERA-DRT interface), aviation NBFC lease default (Cape Town Convention enforcement), gold loan NBFC enforcement (auction realisation, valuation disputes), microfinance institution (MFI) recovery (SHG-coordinated recovery, group-liability), vehicle finance NBFC (hypothecation realisation, repossession, auction), infrastructure-finance NBFC (DFI-loan recovery, project NPA), and fintech NBFC (DLA — digital lending app — borrower defaults, RBI Digital Lending Guidelines compliance).