(1)Without prejudice to the provisions contained in any other law for the time being in force, an asset reconstruction company may, for the purposes of asset reconstruction, provide for any one or more of the following measures, namely:- (a) the proper management of the business of the borrower, by change in, or take over of, the management of the business of the borrower; (b) the sale or lease of a part or whole of the business of the borrower; (c) rescheduling of payment of debts payable by the borrower; (d) enforcement of security interest in accordance with the provisions of this Act; (e) settlement of dues payable by the borrower; (f) taking possession of secured assets in accordance with the provisions of this Act;
(g) conversion of any portion of debt into shares of a borrower company:
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*Subs. by Act 44 of 2016, s. 8, for section 9 (w.e.f. 1-9-2016)
Provided that conversion of any part of debt into shares of a borrower company shall be deemed always to have been valid, as if the provisions of this clause were in force at all material times. (2) The Reserve Bank shall, for the purposes of sub-section (1), determine the policy and issue necessary directions including the direction for regulation of management of the business of the borrower and fees to be charged. (3) The asset reconstruction company shall take measures under sub-section (1) in accordance with policies and directions of the Reserve Bank determined under sub-section (2)
Section 3 Registration of asset reconstruction companies
Section 4 Cancellation of certificate of registration
Section 5 Acquisition of rights or interest in financial assets
Section 5A Transfer of pending applications to any one of Debts Recovery Tribunals in certain cases
Section 6 Notice to obligor and discharge of obligation of such obligor
Section 7 Issue of security by raising of receipts or funds by asset reconstruction company
Section 8 Exemption from registration of security receipt
Section 9 Measures for assets reconstruction
Section 10 Other functions of asset reconstruction company
Section 11 Resolution of disputes
Section 12 Power of Reserve Bank to determine policy and issue directions
Section 12A Power of Reserve Bank to call for statements and information
Section 12B Power of Reserve Bank to carry out audit and inspection