The top court said that the real estate company was involved in fraud and siphoning off homebuyers’ money.
The Supreme Court on Tuesday cancelled the registration of real estate giant Amrapali group under the Real Estate Regulatory Authority (Rera) and directed the state-owned National Building Construction Company (NBBC) to complete all stuck Amrapali housing projects in Noida and Greater Noida.
The top court said that the real estate company was involved in fraud and siphoning off homebuyers’ money. It also directed the investigating agencies to proceed the investigation on Amrapali under the Prevention of Money Laundering Act.
Today’s verdict has come as a big relief to thousands of homebuyers, who had invested their hard-earned money with several Amrapali housing projects in the twin city of Gautam Budha Nagar.
“NBCC to oversee the completion of projects in Noida and Greater Noida. Serious fraud has been played by Amrapali group developers in connivance with Noida and Greater Noida Authorities. Since the authorities did not ensure compliance with the condition of the lease, they cannot have any charge over the projects,” the top court stated in its landmark verdict.
The Court also asked the Enforcement Directorate (ED) to register money laundering case against company’s directors Anil Sharma, Shiv Priya and Ajay Kumar.
Stating about the Noida authority and the banks in the case, the apex court said, “The authorities and banks violated the doctrine of public trust by closing their eyes towards illegal activities on Amrapali group and their officials in siphoning off money.”
The top court also asked the homebuyers to deposit their dues within the period of the next three months to provide financial assistance to the construction company. However, NBCC was yet to make clear from where it would get a huge amount of money to complete all Amrapali projects.