https://www.taxtmi.com/caselaws?id=798331 Time-extension charges imposed under a lease and subsequent policy for delayed completion of housing projects were penal in nature, intended to deter the defaulting developer and ensure timely construction. Where the developer entered insolvency, homebuyers financed continued construction and the successful resolution applicant undertook implementation of the approved resolution plan. Treating charges arising from the corporate debtor's past default as Corporate Insolvency Resolution Process costs would penalise parties not responsible for the delay, undermine the lease's developmental purpose and obstruct project completion. In the stated circumstances, such penalty charges, including claims beyond three years, cannot be imposed on the resolution applicant or homebuyers. en-us Thu, 03 Sep 2026 00:00:00 +0530 Sat, 05 Sep 2026 08:44:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=798331 Time-extension charges imposed under a lease and subsequent policy for delayed completion of housing projects were penal in nature, intended to deter the defaulting developer and ensure timely construction. Where the developer entered insolvency, homebuyers financed continued construction and the successful resolution applicant undertook implementation of the approved resolution plan. Treating charges arising from the corporate debtor's past default as Corporate Insolvency Resolution Process costs would penalise parties not responsible for the delay, undermine the lease's developmental purpose and obstruct project completion. In the stated circumstances, such penalty charges, including claims beyond three years, cannot be imposed on the resolution applicant or homebuyers. Case-Laws IBC Thu, 03 Sep 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=798331