Supreme Court orders CBI probe into builder-bank nexus in Noida
The homebuyers expressed hope this will lead to justice and a time-bound solution to their years-long ordeal
Around 30,000 homebuyers who have not received possession of flats or are unable to get their properties registered in Noida, Greater Noida and other areas, welcomed the Supreme Court’s recent order directing a Central Bureau of Investigation (CBI) probe into alleged misuse of the subvention scheme by builders.

The homebuyers expressed hope this will lead to justice and a time-bound solution to their years-long ordeal.
These buyers had invested in 16 projects by Supertech Ltd, including North Eye, Ecociti, Romano and Cape Town in Noida, Ecovillage 1, Ecovillage 3 and Sports Village in Greater Noida, Upcountry along Yamuna Expressway, Araville and Hilltown in Gurugram, and Micasa in Bengaluru. While Supertech claims it followed norms laid out by the Reserve Bank of India (RBI) and discontinued the scheme after it was scrapped in 2020, buyers allege it was misused across projects.
“The subvention scheme is a nexus between banks, builders and government agencies. The CBI investigation will uncover where our funds went and why the builder failed to deliver,” said Akash Goel, one of the petitioners and a Supertech homebuyer. “The builder looted us. Even after RBI banned the scheme, they continued to use it to collect funds.”
Under the subvention scheme, a tripartite agreement is signed between the builder, bank and homebuyer. The buyer takes a loan, but the builder pays the EMIs until possession is given. Buyers allege that builders took loans on the buyers’ credit profiles and diverted the funds to other projects or businesses, leaving the original projects incomplete.
Goel added, “It was illegal. The buyer bears the risk while the builder walks away. The builder borrows in the buyer’s name and defaults, but it’s the buyer who keeps paying EMIs without a home.”
“After the Supreme Court order, we hope that the execution of this order will be time-bound, and we will get justice without long delays. We hope a time-bound solution to the crisis will be reached,” said Ajay Kumar, a buyer of Supertech Romano.
One such buyer, Arun Singh, booked a flat in Unnati Fortune’s Aranya project in 2013.
“The developer failed to complete and build the project and we failed to get the possession, and got embroiled in their loan trap. Now our developer’s company has been facing a corporate insolvency resolution process and the project is far from complete in Sector 119. We demand justice for thousands of people like us,” Singh said.
Promoter of Unnati Fortune is in jail, and the project has not witnessed construction for the past decade.
Ayog Kumar Rastogi, another Supertech buyer, filed a writ in the Supreme Court in January 2025. He said he booked a 3BHK in Ecovillage 3 in 2010 under the subvention scheme, paid off his loan over 15 years, but never got possession. “I had taken 70% loan under the subvention scheme, and have already paid the loan amount. But Supertech failed to complete the project despite repeated requests. We don’t trust them anymore. We want NBCC (India) Ltd to take over,” he said.
Rastogi questioned how banks approved loans when project maps weren’t sanctioned. “Supertech sold units and got loans approved even when the Greater Noida Authority hadn’t cleared building plans. I paid 16% interest. Where did the money go? Supertech hasn’t paid dues to Noida Authority or used funds for construction.”
He added that Supertech stopped construction in 2016. “Now they want small, financially unstable builders to complete the project. We want the SC to hand over such stalled projects to NBCC.”
“We fail to understand that why could not Supertech Limited arrange the funds since 2016 to finish and deliver the housing project. And now it wants to bring some financial unstable small developers to complete and deliver the project. We want that the SC must keeping in mind our plight should give the incomplete projects to NBCC,” said Rastogi.
Supertech chairman RK Arora, meanwhile, said the company welcomed the order by the apex court and had nothing to hide. “The Supreme Court ordered preliminary enquiries of CBI against developers, including us, and others wherever home buyers availed housing loan in subvention scheme. The probe is also against bankers who gave housing loans. This matter is not specifically related to Supertech,” he said.
Arora said that Supertech used the subvention scheme before the RBI scrapped it in 2020 and delivered 70% of units under the scheme. “We, like all other developers, made use of the subvention scheme as per the rules before 2020, and after 2020, when the scheme ended, we did not use it. We have delivered 70% of the units in which the subvention scheme. We deny fund misuse. We’ve submitted a resolution plan before the SC to complete remaining projects.”
Homebuyers, however, remain wary and demand accountability from both builders and banks. Many say they were misled, pushed into loan traps, and left with incomplete homes despite making full payments. They hope the CBI probe will bring long-overdue answers — and closure.
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