NOIDA: Builder’s entire body Naredco has urged the central authorities to take immediate actions to stop the National Company Law Tribunal (NCLT) from acknowledging bankruptcy cases against contractors for no less than a year, citing Covid-impacted flaws in finishing the impending jobs. Throughout this past year’s lockdown, the Union authorities made some relaxations from the Insolvency and Bankruptcy Code to provide builders protection against bankruptcy proceedings for a few months. NCR has about 3.96 flat units under construction currently, of that Noida, Greater Noida and Ghaziabad discuss more than two lakh units. “We’ve voiced our operational problems within a letter submitted to the Union finance ministry. We’ve emphasized that surgeries at all levels are significantly more or less suspended since the government offices in where different approvals and clearances must be accessed, is working with very lean staff power,” RK Arora, president, and Naredco (Uttar Pradesh), told TOI on Tuesday. While building work at many job sites have declared since June this past year, the contractors in their correspondence have said that the rate of work was hampered by”a disrupted distribution chain which has put their building schedules ago by more than six weeks”. “Further, both offices of these programmers and others related to the jobs will also be closed as a result of lockdown and several employees getting Covid optimistic. The disturbance of building has also attracted the programmers to a scenario of severe liquidity crisis,” Arora said. “New bookings are affected, thus we’ve asked that the Union ministry of finance & corporate occasions to intervene and once more pose exceptional measures to safeguard corporate entities by being hauled into bankruptcy by suspension of the applicability of sections 7, 9 and 10 of all IBC for a duration of one year,” he further added. According to a recent study by property advisers Anarock, a complete of 5.66 lakh units were found from Delhi-NCR from 2013 so far. Of them, 70 percent or a few 3.96 lakh units continue to be under construction. “Of the whole under-construction units in NCR, Greater Noida gets the maximum amount at approx 1.12 lakh units, followed closely with Gurgaon with almost 1.09 lakh units, Ghaziabad with over 58,500 units and Noida using 42,500 units,” said Prashant Thakur of Anarock. The buyers have, nevertheless, responded to the Naredco’s letter. “It isn’t our fault which the builders have yet to be able to maintain the workflow progress because unlike this past year, neither factories nor building activity was halted by the authorities this season,” said Abhishek Kumar, president of Noida Extension Flat Owners Welfare Association.
Insolvency: Builders seek Refuge Against Authorities
