Insolvency proceedings start against Raheja Builders

The National Company Law Tribunal (NCLT) has begun insolvency proceeding against the real estate firm Raheja Developers. As a part of the process, a public notice has been issued informing creditors to submit their claims against the NCR-based firm.

The NCLT admitted and initiated the insolvency proceedings following a plea by one of the flat buyers last month. An interim resolution professional (IRP) has also been appointed by the bankruptcy court to take over the Raheja Builders management.

Besides, the NCLT has declared a moratorium, protecting the company from lenders by restricting them from recovering the amount for a certain period. It has directed the previous management to provide all relevant documents in their possession and furnish all information.

This comes after Raheja Developers failed to fulfil a flat buyer's agreement according to which they were to deliver possession of flats within a period of 36 months from August 3, 2012, when it had issued a joint allotment letter.

The NCLT observed that the 36-month period came to an end on August 3, 2015, and the construction was not completed.
IANS