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, insolvency having commenced, we have no doubt that the management of the corporate debtor shall not create any third-party rights in the immovable properties,” the NCLAT said in its order.
Earlier, the homebuyers had raised concerns that the assets of the company were being sold and transferred without the instructions of the IRP. The advocates for the company argued that this was part of the company’s rolling stock and that they should be allowed to sell the unsold inventory to keep the company a going concern.
“Our objective is to ensure that the buyer is aware that insolvency proceedings are going on against the developer. The builder is selling land and units despite the ongoing proceedings. We hope the matter is resolved soon and the buyer will get the delivery of the unit,” said a homebuyer.
Counsel for the IRP submitted that the IRP has received various notices from the RERA Authority and other authorities that need to be defended on behalf of the corporate debtor.
“We clarify that it shall be open for the Interim Resolution Professional to appear before the authorities where notices have been issued and defend the corporate debtor in accordance with the law, with the assistance of the directors, officers, and employees of the corporate debtor,” the NCLAT said in its order.
