Court receiver in control of Amrapali projects to prepare action plan for homebuyers soon

A day after the Supreme Court order on Amrapali projects, homebuyers on Wednesday said that they needed clarity as to the next course of action and that their lawyer has suggested they wait for a communication from the court receiver, senior advocate R Venkataramani, who was appointed by the Supreme Court.

The court receiver is expected to open his office in Noida to interact with all stakeholders, including homebuyers, as he is now in control of all affairs related to the Amrapali Group’s projects. According to officials, there are 15 housing projects and one commercial project located in Noida and Greater Noida. Since the Supreme Court has cancelled the registration of all of the Amrapali Group’s projects, handing over control to the court receiver, homebuyers said they are waiting for him to provide a roadmap for the future.

“Buyers are unclear as to where they should deposit the remaining flat cost as per the apex court order. They also need several other issues resolved. For example, where the buyers who have to get their flat registered go. We hope that there is clarity on such queries soon because the Noida and Greater Noida authorities have not been addressing them,” said Abhishek Kumar, president of Noida Extension flat owners’ welfare association, one of the petitioners in this case.

In October 2017, Bank of Baroda had filed a plea in the National Company Law Tribunal (NCLT) to recover its ₹97.30 crore, dragging the realty major to corporate insolvency proceedings. The same month, the NCLT appointed a resolution professional to take control of the Amrapali Group. A group of buyers, in November 2017, filed a plea in the Supreme Court, seeking justice. In February 2019, the court directed the Delhi police to arrest the Amrapali Group’s directors for cheating and duping homebuyers. On July 23, 2017, it appointed the court receiver to control the housing projects and carry out further activities, including the registration of ready flats, accepting money from buyers, selling unsold flats and dealing with the state-owned NBCC that has been directed to complete the remaining construction.

“The court receiver is likely to open an office in Noida to deal with homebuyers’ grievances. For registration of flats, the court receiver will decide the role of an agency that will help execute the registry after occupancy certificates are issued by the Noida or Greater Noida authority,” said Kumar Mihir, the advocate for homebuyers in the Supreme Court.

He has also asked the court receiver to address the queries of homebuyers.

“We will shortly meet the court receiver and assist buyers with their issues. The court receiver will also open an account in UCO Bank. The SC is likely to hear this case again on August 9,” said Mihir.

As per the NBCC survey, an amount of ₹8,500 crore is required to deliver the unfinished flats. Officials said that about ₹6,492 crore can be raised by recovering the money from buyers and selling the remaining flats, but there is a shortfall of ₹2,008 crore. Apart from this, the Noida and Greater Noida authorities need to recover around ₹6,000 crore from Amrapali in land dues, they added.

The Noida authority officials said they are waiting for a reply from their legal team and the UP government on the issue, as the court order is lengthy and needs to be examined further. Noida authority chairman Alok Tandon and chief executive officer Ritu Maheshwari were in Lucknow on Wednesday to discuss the Supreme Court order on Amrapali’s housing projects and homebuyers’ grievances.