Thane: Cloud over 30 Nirmal Lifestyle housing projects

More trouble is in store for investors of Nirmal Lifestyle's 30 projects in Thane district, as they face insolvency after the firm failed to repay debts. The revelation was made by MahaRERA last week, around the same time the real estate firm's promoters were arrested in a case linked to different projects.

The Economic Offences Wing (EOW) of the Mumbai police arrested Dharmesh Jain and Rajeev Jain, the promoters of Nirmal Lifestyle, for allegedly failing to hand over flats to around 34 home buyers in four projects in Mulund.

In the same week of their arrest, the Maharashtra Real Estate Regulatory Authority (MahaRERA) released a list of 308 housing projects that are facing Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code (IBC) at the National Company Law Tribunal (NCLT).

The 30 projects of the Nirmal Lifestyle are in Thane district. Representation pic

Of these, 30 projects are of the Nirmal Lifestyle in Kalyan taluka of the Thane district and all have reservations. In fact, 20 projects have more than 40 per cent bookings, including nine that had more than 90 per cent reservations for flats, according to the MahaRERA list. The completion date of some of the projects had lapsed [since 2019], while a few were ongoing.

Also Read: Maharashtra: MahaRERA brings transparency into real estate sector to help the homebuyers

Nirmal Lifestyle, founded in 1975, is mostly involved in residential and commercial construction activities in Mulund, Thane and Kalyan areas. The real estate firm is said to be a subsidiary of Nirmal Lifestyle Holding Pvt Ltd. An official of MahaRERA said the list has been uploaded with an aim to create awareness among home buyers.

"We are trying our best to put up all the details of the developers on the authority website. Those planning to buy property can make use of this information on the website and decide on whether to go ahead or not," the official said.

According to the government rules, corporate insolvency "is a state where a corporate person fails to pay debt, whether whole or any part or installment, when due and payable" and "CIRP is the process of resolving the corporate insolvency of a corporate debtor".

The projects under insolvency process

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