| CITATION | MANU/SC/0947/2019 |
| COURT | SUPREME COURT OF INDIA |
| DATE OF JUDGMENT | August 21th, 2018 |
| PETITIONER | Bikram Chatterjee |
| RESPONDENT | Union Of India |
| Appeal No. | 940/2017 |
| BENCH | Hon’ble Mr. Justice Arun Mishra and Hon’ble Mr. Justice Uday Umesh Lalit |
FACTS OF THE CASE
• A writ petition was filed by home buyers of various projects aggrieved by the Corporate Insolvency Resolution Process being initiated by the National Company Law Tribunal, filed by the Bank of Baroda against Amrapali Silicon City.
• The Supreme Court after hearing the grievances of the homebuyers and in light of the allegations of siphoning of funds being made against the Amrapali Group, decided to take cognizance of the Petition and ordered a Forensic Audit to be conducted of all the entities under Amrapali Group.
• In addition to the amarpali group,the home buyers were challenged by Noida authority, authority said that amarpali group has various mortgage deeds to pay, firstly they have to pay the same then only the homebuyers will get their concerned properties.
ISSUES
▪ The charges levied by officials, banks, home purchasers and development agencies shall be valid.
▪ The Amrapali Group’s RERA registration may be cancelled.
▪ Form of relief accessible to homebuyers
ARGUMENTS
Petitioner:-The dues of Authorities cannot be treated at par with the dues of home buyers and that the charge of the money paid by the home buyers must be treated as the highest priority.
The Public Trust Doctrine enshrined under Article 21 of Constitution of India is very much applicable upon the Authorities and a duty is cast upon them to act fairly and reasonably in order to promote public good and public interest.
Respondent:-
❖ The Mortgage Deed executed between the Banks and Amrapali Group is valid and subsisting and according to the terms thereof, the Banks have charge over the projects till the time the loan amount is repaid.
❖ The homebuyers are not secured creditors and thus do not have any right, title or interest on the basis of allotment through flat buyer agreement.
JUDGEMENT
➢ The RERA Registration of Amrapali Group under RERA Act shall stand cancelled and the various projects shall now henceforth be completed by NBCC (India) Ltd.
➢ Authorities and Banks shall have no right to sell the flats of the home buyers or the land leased out for the realization of their dues and all their dues shall have to be recovered from the sale of other properties of Amrapali Group which have been attached.
➢ The tripartite agreement and do all other acts as may be necessary and also to ensure that title is passed on to home buyers and possession is handed over to them.
CONCLUSION
The submission on the face of it appears to be attractive, but holds no foundation for the reason that the IAs were filed by various group of companies, including Ace Group of Companies, but they are not in any manner concerned with the plight of homebuyers of Amrapali Group of Companies, of which judicial cognizance was taken by this Court and merely filing of IAs by other group of companies who are stranger to the cognizance taken by this Court in reference to Amrapali Group of Companies, do not deserve any indulgence at least in the instant proceedings.
REFERENCES
✓ https://www.advocatekhoj.com/library/judgments/announcemen t.php?WID=16090
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