Jaypee homebuyers may get 'client' tag cover in insolvency case

The government will ensure home buyers do not suffer, says an official

Those who have booked apartments with Jaypee Infratech may not need to fill up any form to protect their interests in the insolvency proceedings.

Plus, to ensure that their interests are protected, along with those of institutional lenders like banks and other financial institutions, the government is planning to insert a new category of “clients” with rights in the insolvency proceedings. 

A senior government official confirmed that discussions were on between the ministries of corporate affairs and finance to work out the details. "The government will ensure homebuyers do not suffer," the official said.

As real estate companies such as Jaypee Infratech are