Source :BL:Mumbai :April:21:2011
The Reserve Bank of India on Thursday said the newly established Central Registry will initially register transactions relating to mortgage by deposit of title deeds to secure any loan or advance from banks and financial institutions.
It will also register transactions arising from securitisation and reconstruction of financial assets entered into by banks and financial institutions, as defined under the Securitisation Asset Reconstruction of Financial Assets and Security Interest Act, 2002.
Available for search
The records maintained by the Central Registry will be available for search by any lender or any other person desirous of dealing with the property.
Availability of such records from the Registry would prevent frauds involving multiple lending against the security of same property as well as fraudulent sale of property without disclosing the security interest over such property, the RBI said in a notification
The Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI), a Government company licensed under Section 25 of the Companies Act 1956, became operational on March 31, 2011.
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