NEW DELHI: The Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) has released a public advisory following the admission of 129 real estate projects from 14 developers into the Corporate Insolvency Resolution Process (CIRP) at the National Company Law Tribunal (NCLT) from January 2024 to the present.
As insolvency proceedings commence, UP-RERA has instructed affected homebuyers to submit their claims exclusively to the appointed Insolvency Resolution Professionals (IRPs) for each project, as per the guidelines of the Insolvency and Bankruptcy Code (IBC).
RERA jurisdiction suspended during moratorium
UP-RERA stated that once a project enters the CIRP, a moratorium under section 14 of the IBC is enacted. During this period, all legal actions, regulatory measures, and recovery proceedings are put on hold. Consequently, the authority is unable to address complaints, issue enforcement orders, or continue any processes for these projects until the moratorium is lifted. All concerns and claims must now be processed through the CIRP framework with the IRPs managing these matters.
Homebuyers urged to file claims with IRPs
The regulator has encouraged homebuyers affected by these projects to quickly submit their claims using the designated IBBI/NCLT claim forms, such as Form CA and other relevant formats, to ensure their dues are officially documented in the resolution process.
UP-RERA advised buyers to maintain regular communication with the IRPs for updates on project statuses, Committee of Creditors (CoC) meetings, and further instructions throughout the insolvency process. A list of the impacted projects is available on the regulator’s website.
The authority reiterated its inability to intervene until the moratorium concludes and recommended that homebuyers rely solely on official communications from the IRPs or NCLT regarding subsequent proceedings.
