Section 13(9) in The Securitisation And Reconstruction Of Financial Assets And Enforcement Of Security Interest Act, 2002
(9)[Subject to the provisions of the Insolvency and Bankruptcy Code, 2016, in the case of] [Substituted 'In the case of' by Insolvency and Bankruptcy Code, 2016, Section 251.] financing of a financial asset by more than one secured creditors or joint financing of a financial asset by secured creditors, no secured creditor shall be entitled to exercise any or all of the rights conferred on him under or pursuant to sub-section (4) unless exercise of such right is agreed upon by the secured creditors representing not less than [sixty per cent.] [Substituted for the words "three-fourth" by Act No. 1 OF 2013] in value of the amount outstanding as on a record date and such action shall be binding on all the secured creditors:Provided that in the case of a company in liquidation, the amount realised from the sale of secured assets shall be distributed in accordance with the provisions of section 529-A of the Companies Act, 1956 (1 of 1956):Provided further that in the case of a company being wound up on or after the commencement of this Act, the secured creditor of such company, who opts to realise his security instead of relinquishing his security and proving his debt under proviso to sub-section (1) of section 529 of the Companies Act, 1956 (1of 1956), may retain the sale proceeds of his secured assets after depositing the workmens dues with the liquidator in accordance with the provisions of section 529-A of that Act:Provided also that the liquidator referred to in the second proviso shall intimate the secured creditor the workmens dues in accordance with the provisions of section 529-A of the Companies Act, 1956 (1 of 1956) and in case such workmens dues cannot be ascertained, the liquidator shall intimate the estimated amount of workmens dues under that section to the secured creditor and in such case the secured creditor may retain the sale proceeds of the secured assets after depositing the amount of such estimated dues with the liquidator:Provided also that in case the secured creditor deposits the estimated amount of workmens dues, such creditor shall be liable to pay the balance of the workmens dues or entitled to receive the excess amount, if any, deposited by the secured creditor with the liquidator:Provided also that the secured creditor shall furnish an undertaking to the liquidator to pay the balance of the workmens dues, if any.Explanation. For the purposes of this sub-section,(a)record date means the date agreed upon by the secured creditors representing not less than three-fourth in value of the amount outstanding on such date;(b)amount outstanding shall include principal, interest and any other dues payable by the borrower to the secured creditor in respect of secured asset as per the books of account of the secured creditor.
