Update IBC code for builders to give data of all buyers: Parl panel

11 Aug 2021 CW Team

If a single home buyer decides to file for the builder's bankruptcy resolution in the NCLT, a parliamentary panel has recommended that the government include a provision in the Insolvency Bankruptcy Code (IBC) requiring builders to provide details of all customers in a project.

A minimum of 100 homebuyers or 10% of total purchasers, whichever is fewer, is required to start the insolvency process, according to a 2018 amendment to the IBC.

The Forum for People's Collective Efforts (FPCE), which helped pass the Real Estate Regulatory Authority law (RERA), explained to the Parliamentary Standing Committee on Finance how this provision is ineffective and disadvantages homebuyers when compared to builders.

Homebuyers are having practical difficulties gathering the required number of purchasers to initiate insolvency proceedings against the real estate owner, according to the panel, which studied the pitfalls in the implementation of the IBC.

According to the panel's report, which was presented to Parliament last week as a result, the committee recommends that once a single homebuyer decides to file for bankruptcy in NCLT, the real estate owner should be required by the Rules and Guidelines to provide the homebuyer with information about other homebuyers in the project so that the required 10% or 100 homebuyers can be mobilised, ensuring that homebuyers' interests are protected.

Abhay Upadhyay, a member of the RERA Central Advisory Council, and the national convener of the FPCE said that they expect the government to find a solution to the problem.

Image Source

Also read: Govt launches bill in Lok Sabha to amend insolvency law

Building Material

11 Dec 2025

Suraj Estate Wins Euromoney Award for India’s Best Residential Developer

"Suraj Estate Developers Limited has received the Euromoney Real Estate Award 2025 for ‘India’s Best Residential Developer’, positioning the company among globally benchmarked leaders in the sector. The recognition reflects its four-decade legacy in delivering high-quality residential and redevelopment-led projects across South Central Mumbai. The Euromoney Real Estate Awards, presented by the London-based Euromoney magazine, are widely regarded as one of the most credible global assessments of performance in real estate, banking and finance. Winners are selected through surveys of inte..

Lloyds Metals, Tata Steel Sign MoU to Explore Strategic Collaboration

"Lloyds Metals and Energy Limited has signed a non-binding Memorandum of Understanding with Tata Steel Limited to evaluate potential areas of strategic cooperation across mining, logistics, pelletisation and steelmaking. The MoU was signed by B Prabhakaran, Managing Director of Lloyds Metals, and Mr T V Narendran, CEO and Managing Director of Tata Steel. The partnership framework aims to leverage the natural operational synergies between both companies and assess opportunities in greenfield steel projects, iron ore mining, slurry pipeline infrastructure, pellet manufacturing in iron ore–ric..

IndiaAI, Gujarat Govt Host Regional Conclave Ahead of 2026 AI Summit

The IndiaAI Mission under the Ministry of Electronics and Information Technology, along with the Government of Gujarat and IIT Gandhinagar, convened a Regional Pre-Summit Event at Mahatma Mandir, Gandhinagar. The initiative is part of the build-up to the India–AI Impact Summit 2026, scheduled for 15–20 February 2026 at Bharat Mandapam, New Delhi. The conclave brought together senior policymakers, technology leaders, researchers and industry practitioners to examine how AI can accelerate economic, digital and social transformation across sectors. The programme focused on the overarching th..