Is a system-generated Sale Confirmation Letter valid under SARFAESI Act?

I received the Sale Confirmation Letter via email from the MSTC e-Bkray auction portal, which states, "This mail is from the Authorized Officer and is generated through the computer system, hence no signature is required." The borrower obtained a stay order from the DRT the day after the e-auction. I have not received a physical Sale Confirmation Letter from the bank, and the borrower has complied with the conditions of the stay order. I have already been impleaded in the SA. In this context, could you please clarify the following: 1) Is a signed Sale Confirmation Letter mandated under the SARFAESI Act to confirm the sale? 2) Is the system-generated Sale Confirmation Letter from the MSTC e-Bkray portal equally valid as the physical Sale Confirmation Letter issued by the Authorized Officer? 3) How can I submit this information in the SA without filing a new interlocutory application? Thank you.

2 Answers
Only verified advocates can give an answer Sign In
A M Iktear Uddin (Anik)
Advocate A M Iktear Uddin (anik) Answered: 22 Jan 2025

Per SARFAESI Rules: 1) A physically signed Sale Confirmation Letter is mandatory for legal validity, 2) The e-Bkray portal's system-generated letter alone is insufficient without physical confirmation from the Authorized Officer, and 3) You can submit this through an affidavit in the SA proceedings, attaching both letters as evidence, without needing a new application.

Admin
Advocate By LEAD INDIA Answered: 22 Jan 2025

Sir, this is a complex matter and requires brief discussion so it is advised to consult an expert lawyer who will assist you with the best course of action. For further legal assistance contact us on our helpline number.

24x7 Help

If we fall short of your expectation in any way, let us know

Payment Trust

All refunds come with no questions asked guarantee

Talk to Lawyer

Talk Now

SunMonTueWedThuFriSat
303112345678910111213141516171819202122232425262728293012345678910
:
PM