Section 26 of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act (SARFAESI Act, 2002) empowers individuals with a vital right: access to information about key financial transactions. This access is available during business hours, illuminating the inner workings of securitization, reconstruction, and security interest arrangements.
Step into the Central Registry: This treasure trove of financial details, maintained in both paper and electronic formats, awaits your inspection. A nominal fee is required to unlock this wealth of knowledge.
Go Digital: If you prefer a paperless approach, the Central Registry also welcomes you through its electronic doors. Again, a prescribed fee grants you access to the same valuable information, this time conveniently displayed on your screen.
The Act specifies the types of information available:
Details of Securitization or Reconstruction: You can inspect the specifics of securitization or reconstruction arrangements registered in the Central Registry.
Pledged Properties: Information about properties pledged as collateral for loans and debts is accessible.
Security Interests Registered: Learn about the various security interests registered by different entities.
Access to this information is crucial for several reasons:
Curbing Fraud: Public scrutiny serves as a deterrent to dishonest practices in financial transactions. Knowing that information is accessible reduces the likelihood of misconduct.
Empowering Informed Choices: Before entering financial agreements, you can readily access essential details, enabling you to make well-informed decisions.
Promoting Accountability: Financial institutions are held accountable for their actions due to public oversight, fostering a culture of responsibility in the financial sector.
Section 26 of the SARFAESI Act is your key to a fairer and more informed financial landscape in India. By exercising your right to access the Central Registry, you can demystify the world of financial transactions. This transparency not only safeguards individuals and investors but also enhances the overall integrity of the financial system. Unlock this valuable resource and take an active role in understanding and participating in the financial ecosystem.