SC says insolvency shield cannot protect real estate promoters from homebuyers' cases

The Supreme Court ruled promoters and directors cannot use insolvency moratorium against homebuyers. This decision provides significant relief for homebuyers facing delayed projects. Insolvency proceedings against a company do not halt action against its leaders. The court clarified the moratorium protects only the corporate debtor, not individuals. This ruling impacts real estate developers facing consumer claims.

Raccontata daeconomictimes.indiatimes.com