In a significant development, the National Company Law Tribunal (NCLT) has directed Mahindra Homes to provide comprehensive information to homebuyers regarding its proposed share capital reduction. The company had sought approval to cancel a portion of equity shares held by its major shareholders, Actis and Mahindra Lifespace Developers.
Given the substantial advance payments made by homebuyers to Mahindra Homes, amounting to Rs 213.84 crore, the tribunal recognized the potential impact of the share capital reduction on these buyers. To ensure transparency and safeguard the interests of homebuyers, the NCLT has mandated that Mahindra Homes communicate the potential consequences of the proposed changes.
This ruling underscores the tribunal’s commitment to protecting the rights of homebuyers and promoting fair practices within the real estate sector. By requiring Mahindra Homes to disclose relevant information, the NCLT aims to empower homebuyers to make informed decisions about their investments and take necessary actions if required.
