Bringing cheers to thousands of troubled homebuyers who are waiting to take delivery of their homes for more than a decade, India's Supreme Court on Thursday upheld an order by NCLAT that asked state-owned NBCC to complete 16 housing projects of debt-ridden Supertech expeditiously.
The court also restrained all tribunals and high courts from passing any order that could lead to a halt in the construction work that is to be completed by the National Buildings Construction Corporation Limited.
A bench of Chief Justice Surya Kant and Justice Joymalya Bagchi used its extraordinary power under Article 142 of the Constitution to uphold the December 12, 2024 order of the NCLAT, which brought NBCC on board to take over the stalled projects in the interest of homebuyers.
The bench recorded that, according to several homebuyers, real estate firm Supertech had booked around 51,000 homes for delivery during the 2010–12 period, many of which remain incomplete even no
The Chief Justice made it clear that the interests and dues of financial and operational creditors of the debt-ridden real estate company could be addressed only after fully finished houses are handed over to distressed homebuyers.
The bench also said the homes must be delivered with all assured facilities in place, including water, electricity and sewage connections, along with roads and parks in the surrounding area.
It ruled that financial and operational creditors of Supertech would have to take a haircut as found just and equitable by the tribunals, namely the National Company Law Tribunal and the NCLAT.
“We find that the order passed by the NCLAT on December 12, 2024, in bringing the NBCC on record for the completion of the pending housing projects is neither unfair nor contrary to the provisions of the Insolvency and Bankruptcy Code (IBC),” the bench said while exercising powers under Article 142.
Article 142 gives the Supreme Court wide authority to pass any decree or order needed to ensure “complete justice” in a case.
The bench directed NBCC to take over and complete the projects quickly, in line with the plan drawn up by an expert committee set up by the NCLAT. It also asked the committee to assist NBCC in completing the work.
While disposing of the pleas, the court allowed parties to approach the apex court if any development arises that could affect the ongoing projects.
Earlier, on February 21, 2025, the top court had stayed an order appointing NBCC as project management consultant to complete the 16 Supertech housing projects at an estimated cost of nearly Rs 9,500 crore.
(with PTI inputs)
The court also restrained all tribunals and high courts from passing any order that could lead to a halt in the construction work that is to be completed by the National Buildings Construction Corporation Limited.
A bench of Chief Justice Surya Kant and Justice Joymalya Bagchi used its extraordinary power under Article 142 of the Constitution to uphold the December 12, 2024 order of the NCLAT, which brought NBCC on board to take over the stalled projects in the interest of homebuyers.
The bench recorded that, according to several homebuyers, real estate firm Supertech had booked around 51,000 homes for delivery during the 2010–12 period, many of which remain incomplete even no
The Chief Justice made it clear that the interests and dues of financial and operational creditors of the debt-ridden real estate company could be addressed only after fully finished houses are handed over to distressed homebuyers.
The bench also said the homes must be delivered with all assured facilities in place, including water, electricity and sewage connections, along with roads and parks in the surrounding area.
It ruled that financial and operational creditors of Supertech would have to take a haircut as found just and equitable by the tribunals, namely the National Company Law Tribunal and the NCLAT.
“We find that the order passed by the NCLAT on December 12, 2024, in bringing the NBCC on record for the completion of the pending housing projects is neither unfair nor contrary to the provisions of the Insolvency and Bankruptcy Code (IBC),” the bench said while exercising powers under Article 142.
Article 142 gives the Supreme Court wide authority to pass any decree or order needed to ensure “complete justice” in a case.
The bench directed NBCC to take over and complete the projects quickly, in line with the plan drawn up by an expert committee set up by the NCLAT. It also asked the committee to assist NBCC in completing the work.
While disposing of the pleas, the court allowed parties to approach the apex court if any development arises that could affect the ongoing projects.
Earlier, on February 21, 2025, the top court had stayed an order appointing NBCC as project management consultant to complete the 16 Supertech housing projects at an estimated cost of nearly Rs 9,500 crore.
(with PTI inputs)
