India, June 24 -- In an important ruling, the Bombay High Court on Monday held that the competent authority under the Maharashtra Ownership Flats (Regulation of the Promotion of Construction, Sale, Management and Transfer) Act, 1963 (MOFA) cannot refuse deemed conveyance to a co-operative housing society only on account of pendency of a corporate insolvency resolution process (CIRP) under the Insolvency and Bankruptcy Code (IBC), 2016.

The court was hearing a petition filed by Darshan Mandir Co-operative Housing Society in Borivali West. The society's building was constructed in 2001, but the builder, Darshan Enterprises, had not conveyed the property to it.

In 2011, the society learnt that the original landowner, Gautam Builders (India...