Loan Reconstruction & Debt Advisory

Loan Reconstruction & Debt Advisory – Detailed Services

🔹 For Banks & NBFCs

  1. Recovery of NPAs

    • Notices, possession, and auctions under SARFAESI Act

    • Filing cases before DRT/DRAT and pursuing appeals

    • Civil court and High Court litigation for recovery

    • Enforcement of cross-collateral and guarantees

  2. Legal Due Diligence

    • Verification of loan documents, mortgages, and securities

    • Examination of guarantee agreements and co-lender contracts

  3. Restructuring & Settlement

    • Drafting and execution of One Time Settlements (OTS)

    • Designing repayment schedules and restructured EMI plans

🔹 For Borrowers & Corporates

  1. Loan Restructuring Advisory

    • Negotiating with banks/NBFCs for restructuring of loans

    • Reduction of interest rates, waiver of penal charges

    • Drafting structured repayment plans (monthly/quarterly)

  2. One Time Settlement (OTS) Assistance

    • Preparing OTS proposals for submission to banks

    • Facilitating negotiations and ensuring fair settlement terms

    • Drafting OTS Agreements with borrower protections

  3. Property & Security Release

    • Assisting in release of mortgaged property after repayment

    • Preventing illegal or premature possession by lenders

    • Filing legal remedies against arbitrary seizure

  4. Debt Consolidation & Negotiation

    • Consolidating multiple debts from various lenders

    • Establishing escrow arrangements for secure repayments

    • Structuring corporate/individual debt workouts

  5. Insolvency Advisory (IBC, 2016)

    • Representing corporates in CIRP before NCLT

    • Guiding individual borrowers under Part III of IBC

    • Advising on insolvency avoidance and restructuring routes

  6. Legal Protection for Borrowers

    • Filing petitions against coercive recovery under SARFAESI/DRT

    • Challenging unlawful actions of recovery agents

    • Ensuring borrower rights under RBI guidelines

🔹 For Investors & ARCs

  • Due diligence of stressed assets and portfolios

  • Drafting Assignment Agreements & Trust Deeds

  • Legal verification of security enforceability

  • Monitoring recovery and enforcement proceedings

📊 Why Loan Reconstruction is Crucial for Borrowers

✅ Reduces EMI burden
✅ Brings down interest and penalties
✅ Ensures secure, legal settlements with lenders
✅ Protects or releases mortgaged properties
✅ Prevents bankruptcy and insolvency risks
✅ Restores creditworthiness for future finance