Representative Image Noida: National Company Law Appellate Tribunal (NCLAT) has asked 27,000 questions home buyers And other stakeholders are authorized to submit objections, if any, to the proposal of National Buildings Construction Corporation Limited (NBC).NBCC) Delayed completion Supertech Projects.
On September 19, NCLAT had asked the interim resolution professional to look into the concerns of homebuyers, compile a report on the objections and suggestions of lenders and landowners, and upload it on Supertech’s website in two weeks.
Stakeholders who have been waiting for the completion of the projects for several years have recently filed an application in the NCLAT. Their key demands include assurance against escalation in the cost of flats, forensic audit of accounts to find out if there has been any fund diversion and removal of all the erstwhile promoters.
The tribunal will now review the objections and suggestions on October 21 and evaluate them in the context of NBCC’s proposal.
“Counsel for Noida, Greater Noida, landowners, lenders, Yamuna Expressway Authority of India and home buyers are granted two weeks’ time to file objections to IA No. 6557 of 2024 (filed by NBCC).
These objections should also be submitted to the IRP. All objections shall be tabulated by the IRP, and a summary of the objections in the form of a chart shall be submitted to the court on the next date of hearing so that the application of NBCC and the objections may be considered and resolved. All lenders, homebuyers, landowners and banks are permitted to e-file objections, a copy of which shall be sent to the IRP,” said the order issued on September 19 by NCLAT chairperson Ashok Bhushan and technical member Barun Mitra.
Responding to appeals from homebuyers, the NCLAT had in May this year directed the IRP to hold talks with NBCC and explore the possibility of the government-backed construction company taking over the delayed projects of Supertech, as it had done in the case of Amrapali.
NBCC then made a comprehensive plan to complete 50,000 flats in 17 projects of Supertech in three years. It sought permission from NCLAT to act as a project management consultant.
NCLAT asked NBCC to take expeditiously and submit a detailed project report.
The tribunal also heard cases related to Supertech’s Doon Square project in Dehradun. Bank of Baroda, one of the major lenders of the company, had recently approved a one-time settlement proposal for the project. The project has 750 units, of which 150 studio apartments have been handed over.
Bank of Baroda’s proposal lays down certain specific conditions, including an initial deposit and a structured repayment plan, which are contingent on NCLAT’s approval. The next hearing for Doon Square is scheduled for September 25, when NCLAT will review the terms of the OTS accepted by the bank and determine further action.
In June 2022, the NCLAT limited the bankruptcy proceedings against Supertech to just one of its projects, Ecovillage 2, using the reverse CIRP. This allowed Supertech to retain control over the execution of the project in the presence of the IRP. The Supreme Court upheld this decision in June 2023, allowing a project-wise resolution approach.
