Aastha shares her views with Mint
Our Partner, Aastha, shared her insights with Mint on the recent amendments to the Insolvency and Bankruptcy Code (IBC), which clarify that statutory land authorities can no longer claim secured creditor status solely by virtue of a statutory charge created under state law. The amendments are expected to bring greater certainty to real estate insolvency proceedings by reducing disputes over creditor priority and facilitating smoother resolution of distressed projects.
Commenting on the practical implications of the amendments, Aastha noted that “[t]he real shift is that land authorities lose the waterfall leverage based on statutory charge, but retain commercial, contractual and regulatory leverage as landowners and statutory authorities.”
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