Vandana Ramnani
Moneycontrol News
The Union Housing and Urban Affairs Ministrys recommendation to the Ministry of Corporate Affairs that the Insolvency and Bankruptcy Code rules ought to be tweaked to make homebuyers primary secured creditors has been welcomed by troubled Jaypee and Amrapali homebuyers as a positive step but they are not sure whether the suggestion that the code should ensure that prior to initiation of insolvency proceedings, the builder must deposit money in an escrow account, as provided under RERA will help, as UP has already diluted its rules.
Lakhs of homebuyers have been impacted by the bankruptcy proceedings initiated against builders such as Jaypee Infratech and Amrapali.
In his letter to the Corpor…
Read the full article at: http://www.moneycontrol.com/news/business/real-estate/changes-suggested-to-insolvency-code-a-positive-step-but-loopholes-remain-say-homebuyers-2414235.html
