Recovery Certificate converts the claim into financial debt, so the claimant cannot insist on homebuyer-class treatment in insolvency.

A homebuyer who has already obtained a RERA refund order and a Recovery Certificate cannot insist on claim admission as part of the homebuyer class in insolvency. The Tribunal applied the principle that a liability backed by a Recovery Certificate constitutes financial debt, and the certificate holder is therefore a financial creditor. On that basis, the claimant's earlier homebuyer status did not continue for claim-admission purposes, and relief seeking admission in Form CA was rejected. The claim had to be considered in the capacity of a financial creditor, not as a class claim of homebuyers.

---

---

Issues: Whether a homebuyer who has obtained a RERA decree and Recovery Certificate for refund can still be treated as a creditor in a class for the purpose of filing claim in Form CA, or whether such claim must be filed and considered as that of a financial creditor in Form C.

Analysis: The claim arose from a flat purchase in the corporate debtor's project, but the appellants had already obtained an order of refund from the real estate regulator and a Recovery Certificate had been issued. The Tribunal relied on the Supreme Court's interpretation that a liability arising from a Recovery Certificate constitutes a financial debt and that the holder of such certificate is a financial creditor. On that basis, the earlier status as homebuyers in a class did not survive for claim-admission purposes under the insolvency process, and the request to compel admission in Form CA was not accepted.

Conclusion: The appellants could not insist on treatment as homebuyers in a class for filing their insolvency claim and were to be treated as financial creditors; the challenge to the order rejecting Form CA relief failed.

Ratio Decidendi: Once a Recovery Certificate is issued in respect of a claim, the holder becomes a financial creditor, and the claim must be dealt with accordingly rather than as a class claim of homebuyers.

---