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Rediff.com  » Business » Supertech's stalemate with buyers continues

Supertech's stalemate with buyers continues

Last updated on: April 30, 2014 11:37 IST

Supertech has received at least 100 applications for refund of money from people who have bought apartments in its two illegal towers in Emerald Court at Expressway Noida.

The Allahabad High Court had ordered the demolition of the two towers on April 11.

The court also asked the company to refund money to the buyers with 14 per cent interest compounded annually.

The two towers - Apex and Ceyane - have 857 apartments, out of which 600 have been sold.

Following the order, Supertech set up an internal team to look into the issues related to the affected buyers.

The company has given three options to the buyers - take refund, shift to another project of Supertech or wait for the legal recourse to end.

Another set of buyers had filed a special leave petition (SLP) in the Supreme Court last week to make them a party in the case and seeking a stay on the order till the disposal of their petition, said a buyer involved in the process.  

Initially, 40 buyers signed up the petition and now, another 50-60 buyers have come forward to be made a party in the case.

Supertech also plans to file an SLP in the Supreme Court on Wednesday against the Allahabad High Court order, company chairman and managing director R K Arora told Business Standard.

However, Arora said the company has received only a few applications for refund while some applications are for transfer of apartments to some other project of Supertech.

The outgo from the company on the refund applications could not be ascertained immediately.

The April 11 judgment was passed while allowing a writ petition of the Emerald Court Owners Resident Welfare Association, which alleged that the approval and construction of the towers was "in complete violation of the UP Apartment Acts."

The petitioner claimed the Noida Authority had given permission to raise the height of the towers, which were supposed to have only 24 floors, without maintaining the mandatory distance of 16 metres from an adjoining building block, making it "unsafe, apart from blocking air and light."  

Realty Logjam

  • Allahabad HC had ordered the demolition of the two towers on April 11
  • The HC also asked Supertech to refund money to the buyers with 14% interest compounded annually
  • The two towers, Apex and Ceyane, have 857 apartments
  • The company has given three options to the buyers - take refund, shift to another project of Supertech or wait for the legal recourse to end

 

Mansi Taneja in New Delhi
Source: