"Banks and Financial Institutions do have a free hand to take possession of assets of a defaulting debtor under Securities and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002." Are there

It is true that there are certain exceptions. Section 31 of the SARFAESI Act, 2002 specifies that none of the provisions will be applicable in the following instances: a lien on any goods, money or security given by or under the Indian Contract Act, 1872 or the Sale of Goods Act, 1930 or any other law for the time being in force; a pledge of movables within the meaning of section 172 of the Indian Contract Act, 1872; creation of any security in any aircraft as defined in clause (1) of section 2 of the Aircraft Act, 1934; creation of security interest in any vessel as defined in clause (55) of section 3 of the Merchant Shipping Act, 1958; any rights of an unpaid seller under section 47 of the Sale of Goods Act, 1930; any properties not liable to attachment (excluding the properties specifically charged with the debt recoverable under this Act) or sale under the first proviso to sub-section (1) of section 60 of the Code of Civil Procedure, 1908; any security interest for securing repayment of any financial asset not exceeding one lakh rupees; any security interest created in agricultural land; any case in which the amount due is less than twenty percent of the principal amount and interest thereon.