The principal bench of the National Company Law Appellate Tribunal (NCLAT), Delhi, has restrained Raheja Developers from creating third party rights by selling units or land.
“It is clarified that now that the insolvency has commenced, we have no doubt that the management of the corporate debtor will not create any third party rights over the immovable properties,” the NCLAT said in its order.
Earlier, the homebuyers had raised concerns that the company’s assets were being sold and transferred without instructions from the IRP. The company’s advocates argued that this was part of the company’s rolling stock and that they were allowed to sell the unsold inventory to keep the company going.
“Our aim is to ensure that the buyer is aware that insolvency proceedings are underway against the developer. The builder is selling land and units despite the pending proceedings. We hope that the matter will be resolved soon and the buyer will get the unit,” said a homebuyer.
The counsel for the IRP has submitted that the IRP has received several notices from the RERA authority and other authorities seeking defense on behalf of the corporate debtor.
“We clarify that it is possible for the Interim Resolution Professional to appear before the authorities where notices have been issued and defend the corporate debtor in accordance with law, with the assistance of the directors, officers and employees of the corporate debtor,” the NCLAT said in its order.
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