The finance department has issued a notification stating that, in conformity with the special provision conferred by Article 371A (1) (a) (iv) of the Constitution of India, secured assets taken over by banks and financing institutions could only be sold to indigenous inhabitants of Nagaland in accordance with provisions of the Nagaland Land and Revenue Regulations (Amendment) Act, 2002.
According to a DIPR report, Nagalnad Governor Prof Jagdish Mukhi had already notified implementation of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002 in Nagaland.