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Informist, Thursday, Aug. 21, 2025

 

--NCLT admits pleas to start IBC proceedings against Raheja Developers

 

By Surya Tripathi

 

NEW DELHI – The Delhi bench of the National Company Law Tribunal on Thursday admitted pleas by a batch of homebuyers to start insolvency proceedings against Raheja Developers Ltd. for an unpaid amount of INR 388.97 million. "In the present case, as a matter of fact, the corporate debtor is liable to make payment to all the allottees for the delay in handing over the possession along with the interest," said the tribunal.

 

The tribunal said that since the residential project titled 'Raheja Krishna Housing Scheme' in Gurugram, Haryana, fell under the Affordable Housing Policy, 2013, Raheja Developers was obligated to complete it and offer possession to the allottees within 48 months, either from the date of environmental clearance or the date of sanction of building plans, both in 2015. Accordingly, Raheja Developers was required to complete the project and hand over possession by 2019, as mandated under the statutory framework and the builder buyer agreement, the tribunal said.

 

Raheja Developers has defaulted in completing the construction and delivering possession within the stipulated period, it said, adding that the developer was previously also admitted into insolvency proceedings in 2024. However, the National Company Law Appellate Tribunal had confined the insolvency proceedings to Raheja Developers' one project – Raheja Shilas (Low Rise).

 

The tribunal rejected Raheja Developers' plea for engaging with the homebuyers to resolve the matter through individualised resolutions. "...once the existence of debt and default is established and the threshold requirement is satisfied, this Hon'ble Tribunal is duty-bound to expedite the process in accordance with the mandate of the (Insolvency and Bankruptcy) Code, without permitting undue delay," the tribunal said.

 

It appointed Brijesh Singh Bhadauriya as the interim resolution professional for Raheja Developers to carry out the functions as per the Insolvency and Bankruptcy Code, 2016. The tribunal also declared a moratorium against Raheja Developers in terms of Section 14 of the 2016 Code.

 

The homebuyers had said that they had paid over 90% of the total sale consideration and in most cases, 100% of the demand raised by Raheja Developers, relying on the representations and assurances of the corporate debtor. However, despite such substantial payments, Raheja Developers had failed to complete the project or deliver possession by the stipulated deadline, the homebuyers said. Instead, Raheja Developers unilaterally and illegally deferred completion timelines from time to time, without making any substantial progress. Site visits by several financial creditors revealed that construction at the project was negligible and only a few structures had been raised, the homebuyers said.  End

 

Edited by Avishek Dutta

 

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