+
Govt mulls quicker resolution of builders’ insolvency
Real Estate

Govt mulls quicker resolution of builders’ insolvency

According to those with knowledge of the situation, India intends to implement new regulations for managing bankruptcy cases involving real estate that will benefit homebuyers even while their builders shut down.

The persons, who asked to remain anonymous since the material is private, stated that the planned amendment to the country's Insolvency and Bankruptcy Code will allow resolution of the cases on a project-by-project basis. According to them, this will allow finished flats to be delivered to homebuyers even as the developer's bankruptcy procedure is ongoing.

The corporate affairs ministry's spokesperson declined to comment.
Inderjit Singh Rao, the minister of state for corporate affairs, had informed the MPs in August that as of June this year, 436 of the 1,999 cases of corporate insolvency still outstanding were in the real estate industry. A unique framework is required to address the intricacies of the real estate sector because the IBC had little success in timely resolving such issues.

They added that the government also intended to streamline pre-packaged resolution plans, create flexible strategies for treating operational and non-viable assets independently, and develop a central platform for case registration in order to speed up resolutions.

According to those with knowledge of the situation, India intends to implement new regulations for managing bankruptcy cases involving real estate that will benefit homebuyers even while their builders shut down. The persons, who asked to remain anonymous since the material is private, stated that the planned amendment to the country's Insolvency and Bankruptcy Code will allow resolution of the cases on a project-by-project basis. According to them, this will allow finished flats to be delivered to homebuyers even as the developer's bankruptcy procedure is ongoing. The corporate affairs ministry's spokesperson declined to comment. Inderjit Singh Rao, the minister of state for corporate affairs, had informed the MPs in August that as of June this year, 436 of the 1,999 cases of corporate insolvency still outstanding were in the real estate industry. A unique framework is required to address the intricacies of the real estate sector because the IBC had little success in timely resolving such issues. They added that the government also intended to streamline pre-packaged resolution plans, create flexible strategies for treating operational and non-viable assets independently, and develop a central platform for case registration in order to speed up resolutions.

Related Stories

Gold Stories

Next Story
Infrastructure Urban

Syrma SGS Elemaster Opens High-Reliability Electronics Facility

Syrma SGS Technology and Elemaster Group have inaugurated a new high-reliability electronics manufacturing facility in Bengaluru through their joint venture, Syrma SGS Elemaster Private Limited.The facility aims to strengthen India’s advanced electronics manufacturing capabilities and support customers across domestic and global markets, particularly in sectors requiring high quality, reliability and stringent manufacturing standards.Located in the Bommasandra Industrial Area, the 20,000 sq. ft. facility is equipped with advanced Surface Mount Technology (SMT), Through-Hole Technology (THT) ..

Next Story
Real Estate

UrbanVault Expands Chennai Workspace Portfolio with 100,000 Sq. Ft.

UrbanVault has expanded into Chennai with approximately 100,000 sq. ft. of managed workspace across three properties, strengthening its presence in India’s flexible workspace market.The company’s Chennai portfolio includes Olympia Teknos and UV IPL in Guindy, and Ceebros Chambers on Velachery Main Road. The expansion marks UrbanVault’s entry into its seventh city, taking its national footprint to more than 3 million sq. ft. across 80+ centres.UrbanVault expects its annual revenue to cross Rs 350 crore in FY27, supported by expansion across major business hubs and rising demand for manage..

Next Story
Real Estate

LML Realty Launches Digital Platform for Custom Factories

LML Realty has launched ‘Your Factory’, a digital platform that enables businesses to configure, customise and order built-to-suit factories online. The platform combines plot selection, factory specifications, pricing and development into a single digital interface.Businesses can select plot sizes ranging from 500 sq. yd. to 10 acres and customise requirements such as factory size, height, structure, crane provisions and power needs. The platform provides instant quotations, allowing users to view configurations and pricing while designing their facilities.Pricing for the built-to-suit fa..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code