NCLT takes action against Efferent Realtors under Insolvency and Bankruptcy Code.

Under Section 7 of the Insolvency and Bankruptcy Code 2016, the National Company Law Tribunal (NCLT) started a procedure for corporate insolvency resolution against Efferent Real Estates located in Delhi.

Gaurav Katiyar has been named by the courts as the Interim Resolution Professional (IRP) for the case.

The buyer through his lawyer Piyush Singh of PSP Legal, claimed in Gurugram’s project centre point ID, that in 2016 he had booked a commercial food court worth Rs 31 lakh. In December 2017 the project was due to be completed. “The builder shall refund the total amount paid, plus 175% of the unit’s total value if the construction is not completed in 6 months,” the buyer explained in its plea. Also, in October 2019, the builder was put before the Court as an ‘ex-parte’.

The Court ordered a stay for all cases against Efferent Real Estates that are ongoing/pending. The corporation has also forbidden the transfer, obstructing or disposing of its assets. It has also been forbidden from foreclosing the assets of the company or from retrieving any property from the owner or lessor where such property is owned or in the company’s hands.

It further advised the developer not to halt or postpone the delivery of essential goods such as water supply, electricity to the buyer.

The company’s ex-management has been asked, within one week of the receipt of a petition to the IRP, to provide all records it holds and provide relevant detail.