Amrapali, Unitech & deferred dreams: SC ensures defaulters will have to pay

On Tuesday, the Supreme Court came out with two rulings that sound the bugle against the directors and promoters of defaulting real estate firms. In the first case, the Supreme Court said it would first sell the personal assets of the promoters and directors of Amrapali group to secure over Rs 50 billion for construction of pending projects. The construction will be done by the National Buildings Construction Corporation India Ltd (NBCC). In the second case, it ordered auction of Unitech directors' unencumbered assets to refund money to home buyers.

The SC's latest ruling may come as a relief for the homebuyers who would hope it either fetches them their refund or the house they have already paid for.
Supreme Court on Amrapali

The Supreme Court on Tuesday said that the only way to secure over Rs 51.12 billion from real estate major Amrapali Group for construction of pending projects by the NBCC (India) Ltd is to sell the individual properties of the directors of the company, news agency IANS reported.

SC orders attachment of bank accounts, movable properties of Amrapali Group

 The Supreme Court  pulled up the Amrapali Group for "defrauding investors" and playing "dirty games" with the court and ordered attachment of all bank accounts and movable properties of 40 firms belonging to the real estate major.

A bench of Justices Arun Mishra and U U Lalit directed the Amrapali Group of companies to place before it details of all its bank accounts from 2008 till today and ordered freezing of bank accounts of all the directors of its 40 firms.

The apex court summoned secretary, Ministry of Housing and Urban Affairs, and chairman, National Buildings Construction Corporation India Ltd, for proceeding with matters of the group without its approval.

On May 17, the apex court had given its nod to three co-developers to complete the 12 stalled projects of the embattled Amrapali Group in the next six months to 48 months time period.

The top court had asked the Amrapali Group to deposit Rs 2.5 billion in four weeks in an escrow account to be paid to the co-developers on completion of the projects.