How will the recent amendment to IBC impact the rights of homebuyers?
It might be prudent to give some space and flexibility to developers for deployment of funds available with them
For the realty sector, it’s important that the NCLT processes should be stalled for the next six months for any new defaults due to covid-19
Last month, while announcing relief packages for covid-19 pandemic, finance minister Nirmala Sitharaman also announced that the threshold for defaulting companies under the Insolvency and Bankruptcy Code (IBC) has been raised, with immediate effect, to ₹1 crore from ₹1 lakh earlier. Earlier, creditors had the right to file a case under IBC if a company defaulted on payment of ₹1 lakh or above, now this limit has been raised to ₹1 crore