No liquidity to pay buyers: Unitech

NEW DELHI: Real estate firm Unitech said on Monday that it had no liquidity to pay back those who had invested money in their “incomplete projects.” The submission was made while the company urged the SC to entertain its petition filed under Article 32 — a jurisdiction invoked when one’s fundamental right is violated — seeking direction to Telangana State Industrial Infrastructure Corporation to return Unitech’s money deposited as a part of a pact to develop land in Hyderabad.

Real estate firm Unitech said on Monday it had no liquidity to pay back those who had invested money in their “incomplete projects.”

Last week, the Supreme Court had directed Unitech to deposit 14% interest on ₹16.55 crore invested by 39 home buyers for its project in Gurugram. The firm, already under crisis after its directors were arrested in connection with a cheating case, was warned that failure to meet the deadline could invite attaching the realtor’s property.

The submission was made while the company urged the SC to entertain its petition filed under Article 32 of the Constitution seeking direction to Andhra Pradesh government to return Unitech’s money deposited in 2008 as part of an agreement to develop land in Hyderabad.

Senior advocate Kapil Sibal told a bench headed by Justice Dipak Misra that Unitech must get the money back because the project for which the deposit was made never took off.

According to him, the government owes ₹600 core – of which ₹165 crore is the principal amount.

He said if the amount is refunded, the firm can include it in the compensation scheme.