[SARFAESI Act] Nature Of Secured Asset Continues To Remain Same Even After Being Purchased By Secured Creditor: Kerala High Court

The Kerala High Court ruled that a secured asset remains encumbered even after the secured creditor purchases it in a sale under the SARFAESI Act. The court reasoned that the status of the asset does not change merely due to the transfer of ownership. This decision underscores the ongoing security interest of the creditor, ensuring continuity of rights over the asset post-acquisition. The judgment clarifies the application of SARFAESI provisions regarding the status of secured assets following creditor acquisition.