SC hands over Amrapali projects to NBCC, seeks money trail info

NEWDELHI: Coming to the rescue of over 42,000 home buyers in Amrapali Group projects in Noida and Greater Noida, the Supreme Court of India on Thursday brought in the state-owned National Buildings Construction Corporation Ltd (NBCC) to complete 16 Amrapali projects and directed it to prepare a comprehensive plan for completion of the same within 30 days.

In an order, the bench of Justices Arun Mishra and UU Lalit said: “NBCC has expressed its willingness to take over the Amrapalli projects and it will in the next 30 days study the 16 Amrapali projects which are in various stages of development and submit to the court a comprehensive plan with timelines to finish them.”

Expressing its trust in NBCC to complete the Amrapali projects, the court said: “There are many builders but we repose our trust in you. There are people who are living in these flats without water, electricity or fire escape. We do not want a situation to happen and we are keeping our fingers crossed on the matter. “

Proceedings in the matter Thursday began with drama.

The court came down strongly on D S Mishra, Secretary, Ministry of housing and urban Affairs and AK Mittal, chairman, NBCC for holding “parallel proceedings” and meeting with Amrapali representatives and home buyers to resolve the issue without being asked to do so by the court.

NBCC should not have “touched” the issue as it was subjudice and their actions were sheer contempt, the court observed. Tightening the screws on Amrapali Group further, the court directed two of Amrapali Groups internal auditors to look at the balance sheets of the 40 subsidiary companies of Amrapali Group and report on the diversion of ₹2,740 crore of home-buyers money to other ventures.

“We want to know where the money has gone. We want to know the complete movement and want you to trace the entire amount of money and tell us”, said Justice UU Lalit.

Amrapali Group on Thursday, placed on record account details of 38 of its 40 companies, while the court permitted the company to submit details of the personal accounts of the directors by August 6. On August 1, the court came down heavily on Amrapali Group for allegedly diverting ₹2,740 crore of home buyers money to other group companies and dragging its feet on delivery of flats. The court ordered immediate attachment of the accounts and immovable properties of 40 subsidiary companies of Amrapali group.