(1) Except as provided otherwise in this Act, where security interest of more than one person is created in the same collateral, out of a security interest in respect of which a notice has been filed and a security interest in respect of which a notice has not been filed, the security interest if respect of which a notice has been filed shall get priority. Even amongst the security interests in respect of which a notice has been filed, such security interest shall get priority according to the time of filing of a notice of security interest or the time of maturity of security interest.
(2) The security interest shall be given priority according to the time when an initial notice covering the security interest is filed or the time when the security interest is first matured, whichever occurs earlier. While determining
the priority of security interests, such notice should not be ineffective after the filing of a notice for the first time or after maturing the security interest or the continuity of maturity of such security interest should not be interrupted
pursuant to sub-section (1) of Section 27. (3) The first security interest attached to collateral shall have priority
over a security interest for which a notice has not been effective or which has not been matured under this Act.
(4) The date of filing or maturity set with respect to collateral shall be deemed to be the date of filing or maturity of a security interest in the proceeds of that collateral.