https://www.taxtmi.com/caselaws?id=311079 Where an Income-tax recovery attachment preceded the bank's mortgage, the mortgage was void against the revenue under Section 281 of the Income-tax Act, 1961 because it was created during pending recovery proceedings. The secured creditor priority scheme under Section 26E of the SARFAESI Act and Section 31B of the Recovery of Debts and Bankruptcy Act applies only to a valid, subsisting security interest. Since the mortgage was hit by Section 281, the bank could not claim priority or seek removal of the tax attachment, and the tax authorities were entitled to proceed against the properties. en-us Tue, 27 Apr 2021 00:00:00 +0530 Thu, 07 Dec 2023 06:21:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=311079 Where an Income-tax recovery attachment preceded the bank's mortgage, the mortgage was void against the revenue under Section 281 of the Income-tax Act, 1961 because it was created during pending recovery proceedings. The secured creditor priority scheme under Section 26E of the SARFAESI Act and Section 31B of the Recovery of Debts and Bankruptcy Act applies only to a valid, subsisting security interest. Since the mortgage was hit by Section 281, the bank could not claim priority or seek removal of the tax attachment, and the tax authorities were entitled to proceed against the properties. Case-Laws Indian Laws Tue, 27 Apr 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=311079