Central Registry of Securitisation Asset Reconstruction and Security Interest

Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI) is a central online security interest registry of India. It was primarily created to check frauds in lending against equitable mortgages, in which people would take multiple loans on the same asset from different banks.

Central Registry of Securitisation, Asset Reconstruction and Security Interest of India

Company type	Public sector
Industry	Financial Infrastructure
Founded	11 March 2011 (2011-03-11)
Headquarters	New Delhi , India
Area served	India
Products	Online security interest registry
Owners	Government of India, National Housing Bank and others
Website	cersai.org.in

It is a registered company under section 8 of the Companies Act, 2013 having its registered office at New Delhi.

CERSAI is a Registration System under the provisions of Chapter IV of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. (SARFAESI Act).

History

It was formed under the Chapter IV Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act). It was registered as a company under the Section 25 of the Companies Act, 1956. CERSAI become operational on 31 March 2011. 51% of the equity is owned by the government, and the rest is owned equally by National Housing Bank and 10 other public sector banks.^[1] The then Chairman of the National Housing bank, R.V. Verma, served as the first acting Registrar, managing director and CEO of CERSAI, while continuing to hold charge at the National Housing Bank.^[1]

Objectives and functions

CERSAI's was created to maintain a central registry of mortgages, where it contains the mortgage taken on a property along with certain details. CERSAI's mandate was extended in 2012 to start registration of security interests created through assignment of accounts receivables or factoring, through the passage of the Factoring Act, 2012. In January 2016, it's riled were extended even further to allow the CERSAI to start registration of security interests created on movable and intangible assets, as well as to registration of all other types of mortgages used in India.^[2]

See also

• CIBIL, a credit rating company in India