Homeownership is seen as a cornerstone of wealth, encompassing both financial prosperity and emotional stability,’ a notion widely accepted as true. Many people aspire to own a home, a journey often characterised by a mix of anticipation, anxiety and excitement. However, the excitement of buying a home can quickly be overshadowed when faced with complex fraud schemes orchestrated by major real estate companies like Supertech, Vatika, Mantri, Jaypee, Unitech, and Amrapali. The recent increase in bankruptcies among builders has created significant challenges for homebuyers. The Insolvency and Bankruptcy Code, 20161 (‘the Code’), was originally intended to aid businesses struggling to resolve their debts. They are using it as a tool to initiate insolvency proceedings against real estate developers for severe defaults. This paper examines the challenging circumstances of homeowners caught up in the bankruptcy proceedings of Jaypee and Unitech. It discusses the repercussions of their financial downfall and the ongoing lengthy legal battles unfolding in the Supreme Court. Given the complexities of the bankruptcy process, the paper seeks to critically assess whether the affected homeowners have seen any meaningful justice or relief. Through a detailed exploration of the events leading to the insolvency of Jaypee and Unitech, the focus is on the impact on distressed homeowners. The objective is also to assess the effectiveness of the legal framework in addressing the grievances of those affected by reviewing court decisions, legal precedents, and recent developments. By delving into the intricate details of these cases, the study aims to shed light on the evolving legal landscape of the real estate sector and discuss broader implications for real estate regulations and the protection of homebuyers’ rights amidst bankruptcy proceedings.

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