They moved the Supreme Court against the Amrapali Silicon City insolvency, claiming it had a direct bearing on their project as well.
Homebuyers of Amrapali Centurian Park in Greater Noida on Wednesday moved the Supreme Court to challenge the insolvency proceedings against Amrapali Silicon City in Sector 76. Noida. They claimed the proceeding had a direct bearing on their project as well.
ML Lahoty, counsel to the homebuyers, told City Spidey that in the writ petition about 70 homebuyers pointed out that since Amrapali Group owned 98.84 per cent share in Amrapali Centurian Park, the insolvency in Amrapali Silicon City could not be viewed in isolation. "Homebuyers fear that with 98.84 per cent of their equity holding falling into the liquidation pool of Amrapali's Silicon City, even Centurian Park faces the prospect of liquidation, as its net assets have been devaluated," Lahoty explained.
He also said that homebuyers had asked the SC to safeguard the interests of homebuyers and treat the money paid by homebuyers just as important as that paid by the financial creditors. "We have also requested the apex court to restrain the IRP [interim resolution professional] from creating any third-party interest in Amrapali Centurian Park," Lahoty added.
National Company Law Tribunal (NCLT) on September 4 had ordered the initiation of insolvency proceedings against Amrapali Silicon City on a plea by Bank of Baroda. The builder had defaulted on a Rs 56-crore loan by the bank.
"Some Amrapali Centurian Park homebuyers in February this year had moved the National Consumer Disputes Redressal Commission [NCDRC] against the delay in delivery of flats, seeking refunds with a penal interest of 18 per cent per annum. The matter is still pending," Lahoty said.
Amrapali Centurion Park is a group housing project with about 5,000 flats in 40 towers, to be built in three phases.
Amrapali Silicon City homebuyers are also planning to move Supreme Court this week against the NCLT order with similar demands.