Home buyers who have deposited money with developers must get possession: Arun Jaitley

Expressing government's sympathy with the flat buyers, Finance Minister Arun Jaitley said that people who have deposited money with the developers should get possession of their flats.

New Delhi: Expressing government's sympathy with the flat buyers, Finance Minister Arun Jaitley on Wednesday said that people who have deposited money with the developers should get possession of their flats.

As per news agency ANI, Jaitley ensured that rights of the flat buyers will be protected at any cost. Jaitley said that the buyers can seek relief under the insolvency law.

Flat buyers who have given money to developers should get their flats, government's sympathy is with the flat buyers: FM Arun Jaitley pic.twitter.com/6mDcPMWxa6

— ANI (@ANI) August 16, 2017

Observing that all those who have paid money to developers should get their flats, Jaitley said "our full sympathy" is with the aggrieved home buyers. The finance minister said there is a provision for running a company under insolvency proceedings.

"Those who are aggrieved can get remedy under this law (the Insolvency and Bankruptcy Code). If there is any such move, the government's full sympathy is with those who have paid money and have rights on the flats," the minister said in reply to a question on problems being faced by the Noida home buyers at a post-Cabinet briefing here.

Hundreds of home buyers had been left in lurch after the National Company Law Tribunal (NCLT) admitted bankers' plea for initiating insolvency proceedings against real estate major Jaypee Infratech for defaulting on a Rs 526-crore loan.

The government is looking at ways to provide relief to Jaypee Infratech home buyers.

Last week, the Allahabad-bench of NCLT also admitted insolvency plea of IDBI Bank relating to default of Rs 526 crore loan by Jaypee Infratech.

It appointed Anuj Jain the interim resolution professional (IRP) to carry out the proceedings under the Insolvency and Bankruptcy Code.

Jaypee Infratech, a part of the debt-ridden Jaypee group, has defaulted on Rs 526.11 crore outstanding loan to IDBI.

Jaypee Infratech is into road construction and real estate business. It has constructed the Yamuna Expressway, connecting Delhi-Agra.

With PTI Inputs