"Banks and financial institutions do have free hands 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 to the applicability of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 by banks and financial institutions. As per section 31, the provisions of this Act do not apply in the following instances: A lien on any goods, money or security given as per Indian Contracts Act, 1872, Sale of Goods Act, 1930 or any other law for the time being in force; A pledge of moveable goods; Creation of any security in an Aircraft registered under the Aircraft Act, 1934; Creation of security interest in a vessel in terms of the Merchant Shipping Act, 1958; Rights of unpaid seller under section 47 of the Sale of Goods Act, 1930; Properties not liable for attachment or sale under the first proviso to sub-section (1) of section 60 of the Civil Procedure Code, 1908; Any security interest for securing repayment of any financial asset not exceeding one lakh rupees; Any security interest created in agricultural land; and Any case in which the amount due is less than twenty per cent of the principal amount and interest thereon.