SC Puts Hold on NBCC’s Role in Supertech’s ₹9,500 Crore Realty Projects
New Delhi, Feb 21, 2025 – The Supreme Court of India has put a stay order on the National Buildings Construction Corporation (NBCC) taking over the completion of Supertech Ltd’s stalled housing projects. This real estate case, involving 16 housing projects worth approximately ₹9,500 crore, is currently under judicial review.
Supreme Court’s Decision and Concerns
A Supreme Court bench, led by Chief Justice Sanjiv Khanna, along with Justices Sanjay Kumar and K V Viswanathan, heard appeals against the National Company Law Appellate Tribunal (NCLAT) order that assigned NBCC to take over Supertech’s projects.
The Court expressed concerns about homebuyers’ interests and questioned whether the NCLAT followed proper legal procedures under the Insolvency and Bankruptcy Code (IBC) before appointing NBCC as the project management consultant. The bench has requested written responses from involved parties and set the next hearing for April 2025.
Supertech Homebuyers in Limbo
- The NCLAT order (December 12, 2024) required NBCC to complete 49,748 housing units across Uttar Pradesh, Uttarakhand, Haryana, and Karnataka.
- Out of these, 27,000 homebuyers are still awaiting their dream homes.
- The order mandated NBCC to start awarding construction contracts by March 31, 2025, and begin work from May 1, 2025.
Supertech’s Response to Supreme Court Stay
Supertech Group Chairman R K Arora welcomed the Supreme Court’s intervention, stating:
“We respect the Supreme Court’s decision to halt the NCLAT order, which unfairly allowed NBCC to take over without considering all stakeholders, including land authorities and lenders. We look forward to a fair solution that benefits homebuyers, bankers, and land authorities.”
NBCC’s Proposed Three-Phase Completion Plan
The NBCC had planned to complete the projects in three phases, as per its submission to NCLAT:
Phase 1 Projects:
- Eco-Village-2 (Greater Noida)
- Romano (Noida)
- Capetown (Noida)
- Czar Suites (Greater Noida)
- Eco-Village-3 (Greater Noida)
- Sports Village (Greater Noida)
- Eco-Citi (Noida)
Phase 2 Projects:
- Northeye (Noida)
- Upcountry (Yamuna Expressway)
- Eco-Village-1 (Greater Noida)
- Meerut Sports City (Meerut)
- Green Village (Meerut)
Phase 3 Projects:
- Hilltown (Gurugram)
- Araville (Gurugram)
- Rivercrest (Rudrapur)
- Doon Square (Dehradun)
- Micasa (Bengaluru)
Legal Background: Insolvency Battle
- Supertech Ltd faced financial troubles, leading to insolvency proceedings initiated by Union Bank of India under IBC Section 7 on March 20, 2021.
- The bank claimed over ₹431 crore as of January 31, 2021, including interest.
- On May 11, 2023, the Supreme Court approved a project-wise resolution, allowing an interim resolution professional (IRP) to oversee construction.
What’s Next?
The Supreme Court’s stay order puts the future of Supertech homebuyers in uncertainty, as it reviews whether the NCLAT’s decision was in line with legal procedures. Stakeholders now await the next hearing in April 2025, which could determine the fate of these delayed housing projects.
