In Delhi, several homebuyers have got together to protest against project delays. The Supertech Noida project of Amrapali, Czar, has landed in a soup citing large scale violation of the the project.
According to RK Arora, Chairman of Supertech told that the structure has been built according to the approved plan without any violations. The company had purchased additional Floor Area Ratio (FAR) from Greater Noida Industrial Development Authority (GNIDA) for the project. But there lie some delays with regards to approvals, but if approvals are not addressed materialistically they are treated as deemed sanction. He believed that the authorities need to blame for project delays. He further added that the company received notification from the authority in April.
Supreme Court on Tuesday gave a stern message to Supertech asking it to return money to investors saying it was not concerned whether the real estate major “sinks or dies”, a direction which may soothe ruffled feathers of hassled home buyers waiting endlessly for their dream homes.
“Either you (Supertech) sink or die, we are not concerned. You will have to pay back the money to home buyers. We are least bothered about the financial status,” a bench of Justices Dipak Misra and Adarsh Kumar Goel said when it was pointed out that some builders have said they had no funds to pay back the home buyers.
The apex court directed Supertech to pay 10 per cent per month of the invested amount from January 5, 2015 to 17 home buyers, who are before the court, within four weeks.
It said the real estate firm has to clear the arrears to the home buyers in four weeks, which can be adjusted and asked Supertech to furnish a chart of payments made to 17 of them on the next date of hearing.
Senior advocate Rajeev Dhawan, appearing for Supertech, said the apex court “cannot act like a banker” and has to follow principle of equality.
“Not all home buyers are against us and some of them have even supported the firm and filed an appeal against the High Court order,” he said, adding “there is a difference between Unitech’s case and us. They did not have a building while we have a building and funds invested with us have been used for construction of structure.”
He said a total of 628 people had approached the company, of whom 274 have sought alternate arrangements, 74 asked for re-investment and 108 have sought refund.
To this, the bench asked why Supertech was not giving back the money to all the investors.
Dhawan said there was a court order saying only those who have applied on time will get the money back and it was paying back the money to them.
Counsels for home buyers refuted Supertech’s claim and said they were not getting the money on time.
The apex court also asked the National Buildings Construction Corporation (NBCC) to submit its report by October 25, after inspecting Supertech’s Emerald Towers to ascertain whether the two 40-storey buildings were built in green area in violation of the sanctioned plan.
On July 27, the court had asked NBCC to visit the site of twin tower and submit a report on alleged violations.
It had observed that the home buyers should not be made to suffer on account of ongoing litigation and their money should be refunded if they want them.
Earlier, it had directed the company to deposit Rs five crore in its Registry as part of refund to homebuyers for the project in which Allahabad High Court had ordered demolition of the twin towers.
The Allahabad High Court had on April 11, 2014 ordered demolition of the two 40-storey residential twin towers — Apex and Ceyane — in Noida and directed Supertech to refund money to homebuyers with 14 per cent interest in three months.
The two towers have 857 apartments, of which about 600 flats have already been sold.
The apex court had on February 16 last year directed Supertech to refund money to the flat owners, saying, “Developers can’t take investors for a ride.”
Earlier, it had directed Supertech to give back money to flat owners who had sought refund of their investments, after the towers were directed to be demolished by the Allahabad High Court.
Holding that flat owners cannot be forced to remain in limbo and wait indefinitely due to litigation, the bench had also directed the company to pay compound interest at the rate of 14 per cent per annum to allottees by end of October 2014.
Meanwhile, Supertech in a statement said :”Few allottees of our Apex and Ceyane Towers who were taking Return on Investment (ROI) from us, went to Hon’ble Supreme Court seeking refund of their investment.
“The Hon’ble Supreme Court directed the company vide its order today to continue their ROI till main matter is decided, and further directed to clear if any ROI payment is pending, within four weeks,” it added.
A group of around 70 homebuyers on Tuesday protested against the Greater Noida authority after its chief executive officer Amit Mohan Prasad refused to meet them at the Knowledge Park-IV office.
Homebuyers from various housing projects, including Value Infra’s Skywalk, Amrapali’s Dream Valley, Supertech’s Eco Village, ShubhkamnaBuildtech and Gaursons, among others, wanted to meet the CEO to discuss several issues.
Homebuyers became agitated after some police constables allegedly pushed them out of the office. Homebuyers ended their protest after the CEO agreed to meet them.
“Homebuyers from Supertech’s Eco Village and Gaur City wanted to meet the CEO because they are facing problems of daily traffic jams at KisanChowk and near Crossings Republik. We discussed issues such as the need for foot overbridges, metro connectivity in Greater Noida west and ways to get back the investments made in projects, whose builders have fled,” said Abhishek Kumar, president, Noida Extension flat owners welfare association.
Homebuyers said the CEO was “angry with them as he did not wish to meet them”.
“We demanded that a tripartite meeting of buyers, builders and officials be started in Greater Noida as is being done in Noida. Let us see if the CEO will consider our demand or not,” said SurendraBaranwal, a homebuyer.
Homebuyers have also asked Prasad not to scrap the proposed 15km Metro project, which was supposed to connect Noida’s Sector 71/51 to Greater Noida’s Knowledge Park-IV.
“We asked the CEO why he has not started work on the project to provide metro connectivity to Greater Noida west. The CEO said he has not scrapped the project. He said the authority has put it on hold due to financial constraints,” Kumar said.
Prasad told HT that he has assured the homebuyers that all their issues would be addressed at the earliest.
“If they disturb peace, police will have to do their job. I did not refuse to meet them. I met around 100 homebuyers and told that I would try to address their issues,” Prasad said.
The residents’ body has been complaining about traffic problems for a long time as they have demanded installation of traffic lights, construction of an underpass and foot overbridges at various important junctions outside the residential societies in Noida Extension and Greater Noida.
“Installation of traffic signals will ensure that the residents of these societies are not affected by rash driving and traffic mismanagement. We have written to the Greater Noida authority on several occasions in the past but no action has been taken so far,” said AmarjeetRathore, a resident of Gaur City.
Industries minister Satish Mahana assured builders of necessary help to finish stuck projects but warned them of stern action if they fail to deliver flats to buyers.
A delegation of homebuyers and realtors on Thursday met Mahana separately at the Sector 6 administrative building. “We will provide help to builders so that they can deliver flats to homebuyers. We will not provide undue help to builders. If they do not deliver, we will do what they haven’t expected us to do,” the minister said.
Homebuyers demanded action against builders who have delayed delivery of flats. They also demanded that the Noida and Greater Noida authorities ensure realtors deliver flats without further delay.
A delegation of 30 homebuyers met the minister. Another group of around 50 homebuyers in Amrapali Zodiac and Unitech’s Unihomes protested at the Noida authority office because the minister refused to meet them. However, a delegation of five protesters was later ushered in by Santosh Kumar, an officer on special duty.
Chief minister Yogi Adityanath had directed the industries minister and officials to address homebuyers’ issues at the earliest. “We briefed the minister about harassment of buyers by PAN Oasis builder for many years. It had allowed possession in an incomplete building and used poor construction material. Our builder has violated sanctioned building plans and constructed shops on the green area,” Kapil Kumar, a PAN Oasis buyer, said.
Noida authority chairman-cum-principal secretary for industrial development department Alok Sinha and chief executive officer Amit Mohan Prasad were also present.
“Jaypee Infratech was supposed to give possession by 2011 in Aman housing project but the construction has been stopped for several years now. The UP government should seize Jaypee’s assets to finish stuck projects. Only holding meetings will not help,” said SK Nagrath, president of Jaypee Aman flat buyers’ association.
In the meeting, realtors asked the minister to ensure that the state government waives off interest for the periods when construction was halted due to National Green Tribunal order and during a dispute over land.
“The Noida authority and the Uttar Pradesh government should waive off interest so that realtors are in a position to deliver projects,” said Anil Mithas, CMD of Unnati Fortune Group.
Supertech, Jaypee Infratech, 3C Group and ABA Corp, among others, met with the industries minister.
“If the authority waives the interest, we will deliver projects with the help of escrow accounts, which will ensure that buyers’ funds cannot be diverted and is spent solely on finishing the housing project,” Vidur Bharadwaj, director of 3C, said.
However, Mahana said they will waive interest for a 77-day period for 105 projects when NGT had stopped construction.
Rs 90cr fraud: Property worth Rs 70cr attached
MUMBAI: The EOW, which lodged an FIR against five persons, including three from a family in a Rs 90-crore investment fraud case, has attached 1,100 acres of land and other properties collectively valued at Rs 70 crore.
The properties include a resort in Kasara, a farmhouse in Karjat and an office in Mumbai. The attachment was done while police are probing the Temple Rose Real Estate Pvt Ltd\'s (TRREPL) investment cheating case.
The EOW found that an orthopaedic surgeon from the city had invested Rs 5 crore in the Ponzi scheme. There are around 6,000 investors who invested in schemes floated by TRREPL. The EOW has filed an FIR against five from Temple Rose, whose offices are located in Dadar (east) and Pune.
Those named in the FIR include Devidas Sajnani, promoter and director of TRREPL, his wife Vanita and daughter Deepa and two others, Keshav Iddya and Marx Thorat. \"We\'ve found Rs 300 crore was invested... The value of attachment is around Rs 70 crore,\" said an officer.
NOIDA: Five builders in Noida and Greater Noida, including big names like Jaypee, Supertech and Amrapali, have given a written commitment to Noida Authority to complete all their in the twin cities by 2020.
Officials told TOI on Friday the five developers submitted the tower-wise completion schedule of their 14 housing projects — overdue by three to five years in most cases — after a recent meeting between Noida Authority and the Confederation of Real Estate Developers Association of India (Credai).
Jaypee Group has promised to complete the Aman project in phases and then deliver all 1,994 units in 13 towers by March 2018. For its Wish Town project, it has given a tower-wise schedule — it will complete 420 units in six towers by September 2017; 3,329 units in 32 towers between October and December 2017; and 2,690 units in 25 towers between January and March 2018.
On its part, Amrapali Group has assured to hand over to homebuyers 100 flats in its Platinum project in Sector 119 by June 2017 and the remaining 51 by August this year. For Amrapali Eden Park, the developer has promised to open an escrow account with buyers within seven days, and put fire-fighting equipment and other devices in place within 60 days.
For its Princeley Estate project where there are 699 flats overdue, Amrapali has promised to start delivery of homes from June 2017 and complete it by May 2018. For Amrapali Silicon City, the builder has promised completion and handover of its entire Phase I by September 2018, Phase II by June 2018 and Phase III by September 2020. For Amrapali Zodiac, it has set a deadline of December 2018.
Supertech is the only builder which has claimed that not a single apartment is overdue. In the documents submitted to the Noida Authority, the group has claimed to hand over 5,155 flats in Capetown, EcoCiti, The Romano, Supernova and E-Square projects by the end of March 2018.
The other two builders — Subhkamna Buildtech and Unnati Fortunate — have promised delivery of their flats by March 2019 and June 2019, respectively.
When contacted, Shiv Priya, executive director of Amrapali Group, said, “We are working towards completion. We seek cooperation from the state government and Noida Authority to help us with financial concessions for the period during which construction has suffered in Noida.”
“We have submitted a planned completion schedule to the Noida Authority. Offer of possession of all the flats will be released immediately upon obtaining completion certificates,” a Jaypee spokesperson said.
Additional CEO of Noida Authority, Shishir Singh, said he hoped the builders would keep their commitment. “The developers have worked out these deadlines. So they are expected to live up to them,” he said.
Credai said that solutions will now be worked out on individuals projects. “Now each project will be taken up and solutions for completion will be drawn at an individual project level. The mandate is to complete and deliver,” Manor Gaur, president of Credai-NCR, said.
Builder\'s Fraud With Investors