Dimapur, Dec. 10 (EMN): The much-debated Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002, has finally come into force in Nagaland.
It came two weeks after the Nagaland Legislative Assembly (NLA) adopted a resolution on the Act during the recently concluded winter session of the 13th NLA.
“In conformity with the special provision conferred by Article 371A (1) (a) (iv) of the Constitution of India, the Governor of Nagaland is pleased to notify the implementation of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act, 2002) in Nagaland with effect from the date of this notification,” read the notification issued by the state’s Finance department.
“In so far as the sale of secured assets taken over by the banks and financing institutions is concerned, it can be sold only to indigenous inhabitants of Nagaland in accordance with provisions of the Nagaland Land and Revenue Regulations (Amendment) Act, 2002,” it added.
The Act was introduced on the floor of the House by Chief Minister Neiphiu Rio on November 25 before was adopted by voice vote on the following day.