The Insolvency and Bankruptcy Board of India (IBBI) has tightened the insolvency resolution framework for real estate companies, introducing project-wise financial monitoring, greater disclosure requirements and a larger role for homebuyers in the resolution process.
The amendments, notified on October 30, are aimed at facilitating more informed and viable resolution of real estate projects, improving transparency and accountability, and protecting the interests of homebuyers and other stakeholders.
Under the revised Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Fifth Amendment) Regulations, 2026, separate bank accounts will have to be maintained for each real estate…