SC asks Centre to submit 'uniform' proposal regarding homebuyers issue

Photo: City Spidey
Posted: Jul 09, 2019

The Supreme Court on Tuesday directed the Centre to come out with a 'uniform' proposal for all cases to resolve the difficulties being faced by lakhs of homebuyers, who are yet to get possession of flats despite paying huge sum of amount to the real estate builders.

“We want suggestions from the Union of India which could be uniform for all such cases,a the bench said. “This issue would be bothering lakhs of homebuyers. Within the IBC, we can not do anything. But outside it, you (Centre) can suggest something. We can consider it," the apex court added.

The court's decision came when it was hearing plea filed by Chitra Sharma, a homebuyer at Jaypee Infratech group reeling under the Insolvency and Bankruptcy Code (IBC). Sharma pleaded that Jayee Infratech be not sent into liquidation.

As the duration of corporate insolvency imposed on Jaypee Infratech Ltd (JIL) got over on May 6 and fearing that in case the JIL goes into liquidation, future of over 21,000 flatbuyers will go in uncertainty.

"Can some other arrangement be suggested by the Union of India without disturbing the ongoing process?," the bench asked, adding, "We are keen to know whether you have something to suggest."  The court has fixed date for next hearing on July 11.

Today’s direction from the apex court has revived some hopes of all the home buyers waiting for their flats in several housing projects based in Noida and Greater Noida.

Chitra Sharma, the petitioner, talking to City Spidey said, “Buyers have nothing to do with insolvency. We pleaded before the court that this IBC is not protecting the interest of homebuyers. The interest of Banks or other lenders and homebuyers should not be seen with same aspect.”

TAGS: Supreme Court / Jaypee Infratech Ltd / Noida / Greater Noida / IBC / Homebuyers / Centre