Central Registry Operationalized to prevent fraud and multiple lending in the same property

The Central Registry has become operational with effect from 31st March,2011. The objective of setting-up the Central Registry is to prevent frauds in loan cases involving multiple lending from different banks on the same immovable property. The Central Registry Of Securitisation Asset Reconstruction And Security Interest Of India, a Government Company, licensed under Section 25 of the Companies Act, 1956 has been incorporated for the purpose of operating and maintaining the Central Registry under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act 2002). The Central Registry shall be under the superintendence and direction of the Central Registrar. Notifications for establishment of the Registry to be operated and maintained by the above company and for the purpose of appointment of Central Registrar have been issued by the Government today i.e. 31st March, 2011.

Initially transactions relating to securitisation and reconstruction of financial assets and those relating to mortgage by deposit of title deeds to secure any loan or advances granted by Banks and Financial Institutions, as defined under the SARFAESI Act, are to be registered in the Central Registry. The Forms for registration and the fees for filing registration particulars as well as for taking a search in the Central Registry have been prescribed by Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (Central Registry) Rules, 2011. The said Rules have been notified on 31st March, 2011. 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 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 necessary records to be kept under these rules and the manner in which the details of forms e.g. Form I, II ,III IV  to be filed with registry are mentioned in the  rules.  The tables of applicable fees in this regard is mentioned below :


Sl. No.
Nature of transaction to be Registered
Form No.
Amount of fee payable
Particulars of creation or modification of Security Interest in favour of secured creditors
Form I
Rs. 500 for creation and for any subsequent modification of Security interest in favour of a secured creditor for a loan above Rs. 5 lakh. For a loan upto Rs. 5 lakh the fee would be Rs. 250 for both creation and modification of security interest.
Satisfaction of any existing Security Interest
Form II
Rs. 250
Particulars of securitisation or reconstruction of financial assets
Form III
Rs. 1,000
Particulars of satisfaction of securitisation or reconstruction transactions
Form IV
Rs. 50
Any application for information recorded/maintained in the Register by any person
Rs. 50
Any application for condonation of delay up to 30 days
Not exceeding Rs. 2,500 in case of creation of security interest for a loan up to Rs. 5 lakh and not exceeding Rs. 5,000 in all other cases.


A central database of security interests created over property as well as assignment of such security interest by way of securitisation or asset reconstruction would make the secured lending activity in the financial market safer for the lenders. This would enthuse the secured creditors to provide credit to the productive sectors to help sustain the growth momentum of the Indian economy.

The Chairman and Managing Director, National Housing Bank shall hold additional charge as the Registrar of the Central Registry for a period of three months and he shall also be the Managing Director and Chief Executive Officer of the Government Company incorporated for the purpose of operating the Registration System.


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