Unitech takeover: Despite IBC and RERA, homebuyers find no relief

Analysts point out the RERA, too, has not been able to stem the litany of woes faced by homebuyers in financially stressed projects

The recent Supreme Court judgment allowing the Centre to take over the management of the beleaguered real estate firm Unitech has once again put the spotlight on the issues concerning homebuyers and their disputes with builders.

A sense déjà vu prevailed: Around a decade back, the government had to similarly step in to rescue fraud-hit Satyam. While many stakeholders celebrated the SC’s order in Unitech, it raised questions on the efficacy of the regulatory and redress mechanisms under the Real Estate Regulation Act (Rera) and the Insolvency and Bankruptcy Code (IBC).

According to the apex court, the Unitech matter was