Another Delhi Builder May Be Wound Up

New Delhi: Another Delhi bases realty player may be wound up soon. The National Company Law Tribunal (NCLT) has ordered insolvency proceedings to be started Bright Buildtech for non-payment of brokerage.

The court has ordered initiation of bankruptcy under under Section 9 of the Insolvency and Bankruptcy Code 2016 and has Naresh Bhutani as the interim resolution professional (IRP).

In its plea, Suresh Chand & Sons LLP said that an agreement was entered into between Bright Buildtech and itself for sale of properties in the ‘Wood View Residences’ project and a certain brokerage was to be paid by the former to the latter as per the agreement. But the builder has defaulted in payment of the brokerage exceeding Rs 1 crore. 

Bright Buildtech, in its defence, said that certain properties for which Suresh Chand & Sons LLP had raised invoices did not conclude in final sales. Bright Buildtech said that the actual payment that should haveb been made to Suresh Chand & Sons LLP should be Rs 36 lakh only and not Rs 1 crore. 

The builder also said that the invoices raised by Suresh Chand & Sons LLP dated June 1, 2015, June 3, 2015 and June 6, 2016 cannot  be included for settlement through court since they are time barred.   

However, the court said that sine the debt was acknowledge by Bright Buildtech on 9 April 2018 and hence the invoices were not time barred and could still be pursued in the court.

NCLT ordered a stay on all the ongoing or pending legal cases against the builder. The court also ordered the builder not to transfer or dispose any of its assets.

The court also ordered the supply of essential items and services like supply of electricity and water to the buyers should not be stopped.