The report presented by the Insolvency Law Committee has brought some hope to the homebuyers.Under the Insolvency and Bankruptcy (I&B) Code, the one affected the most are the genuine homebuyers of those real estate companies against whom Corporate Insolvency Resolution Process (CIRP) has been initiated. These homebuyers have given their earnings, taken the loan from financial institutions and are paying hefty interests just to have a home. However, if the CIRP is initiated, they are not even considered at the moment as a financial or operational creditor, although they are allowed to file their claim. Further, if the CIRP proceeding against these real estate companies fails and liquidation starts, then they are entitled to…
Read the full article at: https://www.financialexpress.com/money/liquidation-of-assets-of-insolvent-builders-do-homebuyers-need-separate-legal-action/1139451/