Supertech unable to refund homebuyers of Noida twin towers, Amicus Curiae tells SC

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New Delhi, May 7

Beleagueredreal estate major Supertech does not have sufficient funds to refund the money paid by homebuyers’ of the Emerald Court twin towers in Noida ordered to be demolished by the Supreme Court,Amicus CuriaeGaurav Agarwal has said.

Agarwal told a Bench led by Justice DY Chandrachud on Friday that the company was in talks with Union Bank of India to resolve the dispute over the payment of dues. He has filed a sealed cover report containing a separate list of 107 homebuyers who were yet to be refunded.

“The Interim Resolution Professional (IRP) has stated in the report that there are no sufficient funds in the accounts of the company to be paid to the home buyers of the Twin Towers,” the Amicus Curiae said.

The Bench said a way out has to be found to pay the homebuyers of the as per its orders and posted the matter for further hearing on May 18.

The Supreme Court had on August 31, 2021 ordered demolition of real estate major Supertech’s 40-storey Emerald Court twin towers in Noida for violation of building laws and norms in collusion with Noida Authority officials.

It had directed Supertech to refund the money collected from homebuyers who had purchased apartments in ill-fated twin towers in two months with an annual interest of 12 per cent. It also ordered the company to pay a cost of Rs 2 crores to the petitioner Resident Welfare Association (RWA).

Agarwal said he had been informed that the erstwhile management of the real estate firm that has filed an appeal before the National Company Law Appellate Tribunal (NCLAT) challenging March 25, 2022, by which a corporate insolvency resolution process has been initiated against Supertech Ltd., and it is listed on May 17. If the issue with the financial creditor is resolved then the status of 107 home buyers out of over 711 will be back to what it was earlier before the start of the insolvency process, he said.