"Right to housing is a fundamental right under Article 21": Supreme Court asks Centre to come up with a revival fund to provide financing for stressed real estate projects undergoing insolvency, in order to prevent liquidation of viable projects and protect homebuyer interest. 
The Court passed directions to safeguard home buyers while upholding an NCLAT judgement which it held that claims of speculative buyers cannot be admitted to insolvency proceedings.
Court: Speculative participants driven purely by profit motives cannot be permitted to misuse the Insolvency and Bankruptcy Code, which is a remedial framework for revival and protection of sick companies and in the case of real estate, genuine homebuyers.
Court: Such investors have alternative remedies under consumer law or RERA and even recourse to civil courts in appropriate cases.
Court: To admit speculative claims into insolvency proceedings would dilute the intelligible differentia underlying the legislative scheme, destabilize the residential real estate sector and erode the social purpose embedded in housing as a fundamental right.
Court: the government is constitutionally obliged to protect the interest of home buyers and the economy at large. It is not nearly about houses or apartments. The banking sector, allied industries and employment of a large populace are also at stake.
Court: Before parting, we observe that the right of housing is not merely a contractual entitlement but a facet of fundamental right to life under Article 21. Genuine homebuyers represent the backbone of India's urban future and their protection lies at the intersection of constitutional obligation and economic policy.
Court: Through these directions, this Court seeks to restore faith in the regulatory and insolvency framework, deter speculative misuse and ensure that the dream home of the Indian citizen does not turn into a lifelong nightmare.
Court: Registry is directed to circulate a copy of this judgment to the Cabinet Secretary as well as Chief Secretaries of all states, who shall take necessary steps at the earliest.
• • •
Missing some Tweet in this thread? You can try to
force a refresh
