Supreme Court ruled on Supertech Twin Tower Case: Return Money or Go to Jail

On Wednesday, Supreme Court’s bench headed by Justice DY Chandrachud demanded real-estate giant Supertech to reimburse home buyers of flats in the 40-storey twin towers in Noida, the demolition of which was directed in August 2021.

The Hon’ble Supreme Court opined that interest cannot be charged on Return of Investment and that the real-estate company cannot pay the money back in installments and with deductions. The Court has further asked Noida Authority to finalise the agency to be entrusted with the task of demolition of the twin towers in the Noida Emerald Court housing project.

The Supreme Court has upheld the order passed by the Allahabad High Court directing the demolition of twin 40 storey towers in the Emerald Court project of Supertech Ltd in Noida, owing to violation of building norms.

The Court had directed that the demolition work should be carried out by Supertech at its own cost (under the supervision of CBRI) and in order to ensure that the demolition is carried out safely, NOIDA shall consult its own experts and experts from Central Building Research Institute Roorkee.

The order further states that Supertech should refund to all existing flat purchasers in Apex and Ceyane (T-16 and T-17) within a span of 2 months, except to those whom refunds have already been made, all the amounts invested for the allotted flats together with interest at the rate of twelve per cent per annum payable with effect from the date of the respective deposits until the date of refund in terms of the judgment.

Moreover, the Court has asked the builder to pay a cost of Rs. 2 crores to the Resident Welfare Organization.

The bench of Justices D. Y. Chandrachud and MR Shah observed that illegal construction will be dealt with strictly and no compromise will be done on the matter of preserving the environment amid the rising needs for urban housing. The Supreme Court further observed that the consent of individual flat owners was necessary under the UP Apartment Act before the construction of twin towers as the common area was reduced by adding new flats. However, with the collusion of Noida authority with the builders, the construction was illegal.

Furthermore, the Supreme Court confirmed the High Court’s direction to the competent authority under to grant sanction to prosecute the NOIDA official who acted in collusion.

Full copy of the judgment is awaited.

On Wednesday, Supreme Court’s bench headed by Justice DY Chandrachud demanded real-estate giant Supertech to reimburse home buyers of flats in the 40-storey twin towers in Noida, the demolition of which was directed in August 2021.

The Hon’ble Supreme Court opined that interest cannot be charged on Return of Investment and that the real-estate company cannot pay the money back in installments and with deductions. The Court has further asked Noida Authority to finalise the agency to be entrusted with the task of demolition of the twin towers in the Noida Emerald Court housing project.

The Supreme Court has upheld the order passed by the Allahabad High Court directing the demolition of twin 40 storey towers in the Emerald Court project of Supertech Ltd in Noida, owing to violation of building norms.

The Court had directed that the demolition work should be carried out by Supertech at its own cost (under the supervision of CBRI) and in order to ensure that the demolition is carried out safely, NOIDA shall consult its own experts and experts from Central Building Research Institute Roorkee.

The order further states that Supertech should refund to all existing flat purchasers in Apex and Ceyane (T-16 and T-17) within a span of 2 months, except to those whom refunds have already been made, all the amounts invested for the allotted flats together with interest at the rate of twelve per cent per annum payable with effect from the date of the respective deposits until the date of refund in terms of the judgment.

Moreover, the Court has asked the builder to pay a cost of Rs. 2 crores to the Resident Welfare Organization.

The bench of Justices D. Y. Chandrachud and MR Shah observed that illegal construction will be dealt with strictly and no compromise will be done on the matter of preserving the environment amid the rising needs for urban housing. The Supreme Court further observed that the consent of individual flat owners was necessary under the UP Apartment Act before the construction of twin towers as the common area was reduced by adding new flats. However, with the collusion of Noida authority with the builders, the construction was illegal.

Furthermore, the Supreme Court confirmed the High Court’s direction to the competent authority under to grant sanction to prosecute the NOIDA official who acted in collusion.

Full copy of the judgment is awaited.

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