Homebuyers can approach NCLT under Insolvency and Bankruptcy Code

In a landmark judgement, the Supreme Court of India on Friday upheld the constitutional validity of Section 5(8) (f) of the Insolvency & Bankruptcy Code. The Section 5(8) (f) of the IBC Code gives right to the homebuyers to approach the National Company Law Tribunal (NCLT). It gives home buyers the right to be considered as 'financial creditors'. The amendment made to IBC was challenged by as many as 136 builders through writ petitions which were attached to the original case filed by Pioneer Urban Land and Infrastructure against Union of India and home buyers.