The previous management of Realty Firm Supertech Limited informed the Supreme Court on Wednesday that it had filed a settlement proposal with the financial creditor Union Bank of India to settle the arrears with the National Company Law Appellate Tribunal (NCLAT).
Senior advocate S Ganesh told a bench of Justices DY Chandrachur, Surya Kant and PS Narasimha that they had submitted the proposal in favor of the previous management and asked the court to direct the NCLAT to consider it.
The bench said, “You kept it. They (NCLAT) will consider it. We should not issue any such directive for consideration. It is not right for us to give them instructions. “
Initially, Amicus Curiae Advocate Gaurav Agarwal told the court that the matter was scheduled for hearing on May 17 before the NCLAT but it was adjourned.
The counsel appearing on behalf of the Interim Resolution Professional (IRP) appointed by the NCLT submitted that the previous management had issued checks to several home buyers, which have now been dishonored due to insufficient funds and they have now initiated legal proceedings against it.
The bench said it had to protect the IRP and directed that no such action be initiated against it.
A lawyer for home buyers said the legal process for check bounces is prohibited by restrictions and if they do not start such activities within a specified time, they will lose the remedy under the Negotiable Instruments Act.
The bench, then exercising its powers under Article 142 of the Constitution, extended the period of limitation till further order.
Earlier, on May 6, the troubled real estate chief Supertech Limited informed the apex court that the financial creditors were in talks with the Union Bank of India to resolve the dispute over the payment of arrears.
The apex court was further informed by Agrawal that the company Supertech Limited did not have sufficient funds in its account to reimburse home buyers for demolishing the Twin Towers in the Noida Emerald Court project.
The bench told Agarwal that the court directed that the buyers of the Twin Towers house should find a way to pay.
On April 4, the apex court said it would protect the interests of buyers of a 40-storey twin-tower home in the emerald court project of real estate developer Supertech Limited, which has now been declared bankrupt by the NCLT and ordered to file by April 15. Claim them for a refund.
The realty firm told the apex court that it would file an appeal against the order of the National Company Law Tribunal (NCLT) in an application filed by Union Bank of India for non-payment of about Rs 432 crore. Arrears
Amicus had earlier said that the Twin Towers had a total of 711 home buyers out of which the company had settled 652 home buyer claims.
On February 28, NOIDA authorities informed the apex court that the demolition work of a pair of Supertech 40-storey towers had begun in its Emerald Court project, which was found to be illegal for violating the rules, and would be completely demolished.
Authorities said in a status report that after the massive structure was demolished, the entire wreckage would be cleared from the site by August 22.
The apex court asked all stakeholders, including NOIDA and Supertech Limited, to adhere strictly to the deadline given in the status report and listed the matter for the next hearing on May 17.
On August 31 last year, the apex court, along with NOIDA officials, ordered the demolition of Supertech Ltd’s twin 40-storey towers under construction within three months for violating building rules “internationally”, saying illegal construction must be dealt with severely. To ensure compliance with the rule of law.
NOIDA authorities received a rap on its counterfeit because the apex court cited multiple cases of collusion of its officials with Supertech Limited in the Emerald Court project and multiple incidents of violation of rules by Realty Major in the construction of the Twin Towers.
The apex court directed that home buyers would be reimbursed the full amount at 12 per cent interest from the time of booking and Rs 2 crore would be paid to RWA of the Emerald Court project for the harassment caused by the construction of the Twin Towers. Existing residents of the housing project adjacent to the national capital were blocked from sunlight and fresh air.