Homebuyers may get benefit under insolvency proceedings

Homebuyers could be treated on a par with unsecured financial creditors at insolvency proceedings for real estate companies.

If adopted, the move will cheer those who have acquired residences from companies such as Jaypee Inftratech, Unitech and Amrapali and find themselves at the back of the queue when it comes to seeking recompense.

This is among proposals made by a committee tasked with reviewing the Insolvency and Bankruptcy Code (IBC) and under consideration by the government, according to sources.