THE SUPREME COURT Thursday ruled that honle buyers’ societies or Resident Welfare Associations (RWA) ordinarily constituted for maintenance and manage ment of common facilities in a housing project cannet intervene in the insolvency proceedings of the developer company, A bench of justices JB Pardi-wala and it Mahdevan, which upheld the insolvency pro-ceedings related to Takahashiia Heights India Private Ltd under the Insolvency and Bankruptcy Code (IBC) of 2016, said if creditors elect to invoke the provisions of the code
they must do so with a genuine willingness to pursue revival of the corporate debtor. It said, “Should revival not be their objective, the Code carmot be converted into a tool for expedient recovery, alter-native statutory remedies, including under SARFAEST or other applicable laws, remain available in accordance with law” The bench upheld the nejection of intervention appli cation by National Company Law Appellate Tribunal (NCLAT) of Fingua Cо-ората tive Housing and Communcial Society Ltd & society
Satinder Duggal
