India Builder NCLT & Insolvency Risk Flags 2026

Brickplot tracks NCLT/IBC insolvency proceedings for residential builders across India using a weekly eCourts scraper. Builders with confirmed proceedings include Mantri Developers (multiple Bangalore projects), Lanco Hills (Hyderabad), and several mid-tier developers in the NCR and MMR regions. The full list is on this page, sorted by severity. Projects where the promoter or parent entity has an admitted IBC petition receive a hard score cap of ≤3.9 on the Brickplot 10-point scale, regardless of the project's individual merit.

NCLT (National Company Law Tribunal) proceedings under the Insolvency and Bankruptcy Code (IBC) 2016 mean a creditor has filed a petition against the builder company for debt default. If the NCLT admits the petition, a Corporate Insolvency Resolution Process (CIRP) begins, a Resolution Professional takes over the company, and all construction activity may pause. For homebuyers: ongoing projects can face indefinite delays, refunds become difficult, and possession timelines become unreliable. Under IBC, homebuyers are classified as financial creditors (amended 2018), giving them voting rights in the Committee of Creditors — but recovery is rarely full. Brickplot strongly advises avoiding any project where the promoter has an admitted NCLT petition.

There are three ways: (1) Search the NCLT case portal at nclt.gov.in using the company name — look for IBC Section 7 (financial creditor), Section 9 (operational creditor), or Section 10 (corporate debtor) petitions. (2) Search MCA21 for any Corporate Insolvency Resolution Process (CIRP) entries. (3) Check Brickplot — our weekly eCourts scraper auto-flags any builder with an active or admitted NCLT petition across all projects in our database. A Proceedings badge on this page means we found an admitted or active IBC petition. A Partial badge means preliminary or dismissed petitions exist — lower risk but still worth monitoring.

Brickplot uses two levels: Proceedings means an IBC petition has been admitted by the NCLT bench — the highest risk level, triggering a hard score cap of ≤3.9. Partial means one or more IBC petitions have been filed against the builder but have not yet been admitted, or were filed against a subsidiary/SPV rather than the main promoter entity. Partial proceedings are a yellow flag — they signal financial stress and warrant monitoring, but do not by themselves cap the Brickplot score. Always verify the current status at nclt.gov.in before any purchase decision.

Yes — when a promoter entity enters NCLT proceedings, Brickplot applies the hard score cap of ≤3.9 to every residential project under that promoter. This is because NCLT proceedings affect the promoter's ability to fund all ongoing projects simultaneously. Each project is registered under an SPV (Special Purpose Vehicle), but the promoter's financial collapse typically cascades across all SPVs. The only exception is where a project was legally ring-fenced before the CIRP began and is being independently completed by the Resolution Professional — in which case Brickplot reviews on a case-by-case basis.