SC stays order asking NBCC to build stalled Supertech projects

Alternative proposals sought

- Abraham Thomas

NEW DELHI: The Supreme Court on Friday stayed an order by the National Company Law Appellate Tribunal (NCLAT) that allowed NBCC Limited to take over 16 stalled Supertech residential projects, agreeing to examine alternative proposals for their completion. The decision affects over 42,000 homebuyers who have been waiting for years to receive possession of their flats.

Staying the December 12 NCLAT order, a bench headed by Chief Justice of India (CJI) Sanjiv Khanna said, "The primary issue to be examined is whether NCLAT was right in awarding the work of construction to NBCC India Limited without following the procedure under the Insolvency and Bankruptcy Code (IBC), 2016."

The court directed all stakeholders, including corporate guarantors, Supertech promoter RK Arora, and the Yamuna Expressway Industrial Development Authority (Yeida), to submit alternative proposals by March 21 and scheduled a hearing in the first week of April.