News: Supreme Court Gives Parsvnath a Week to Deposit Dues-20-07-2026
Parsvnath Developers has one week, as a final opportunity, to deposit with the Supreme Court registry the entire amount due to homebuyers in a Gurugram project along with 12 per cent interest per annum, the court ordered on July 20. It warned that the next step would be imprisonment.
A bench of Chief Justice Surya Kant and Justices Joymalya Bagchi and V Mohana was hearing a petition by Rita Tikku, a cancer survivor, and Lokaish Tikku, who put their life savings into the ’Parsvnath Exotica’ project in Sector 53. The matter was adjourned to July 27.
The CJI made strong remarks against the firm and its directors, saying the whole country had been duped, the system had been "hijacked" and what happened to the Unitech directors would happen to them if the orders were not obeyed within a week.
The bench recorded that the builder and its officials had entered appearance and asked them to explain their non-adherence to orders of the Haryana Real Estate Regulatory Authority (HRERA). It said the last opportunity was being given before execution of the non-bailable warrants already issued, and that under its earlier order everything would stay frozen. The Haryana government’s compliance affidavit, filed the previous evening, was to be tagged with the paper books immediately.
The court did not accept a submission that other buyers were living in the building where the petitioners had booked their home. The CJI said the bench was acting under Article 142 of the Constitution, which empowers it to pass any order needed for "complete justice", and was not concerned with IBC or insolvency proceedings.
Earlier order
On July 13, the court froze the bank accounts of the firm and its directors and issued bailable warrants against the company’s leadership, taking note of a 20-year struggle by senior citizens for possession. It issued notices to the state government, Parsvnath Hessa Developers Pvt Ltd through its managing director, Parsvnath Developers Pvt Ltd, the district magistrate of Gurugram and Haryana’s Department of Town Country Planning. The Haryana chief secretary, the DGP, all district collectors and police commissioners were asked to ensure strict compliance and file affidavits. No third-party right was to be created and possession of the flat was not to be given to a third party.
The bench noted that the petitioners were allotted units in 2006 and signed the builder-buyer agreement in early 2007. The sale consideration was Rs 1.78 crore, the flat was to be handed over in 36 months and possession became due in February 2013. Despite full payment, construction was nowhere near complete.
Haryana RERA ordered compensation, and those orders, unchallenged by the builder, became final. Yet neither possession nor compensation followed, execution proceedings proved futile and multiple show-cause notices went to the directors, the bench said. Haryana RERA then issued bailable warrants. The court said it was perturbed that even the bailiff was not allowed to enter the company’s premises.
It observed that the proceedings prima facie raise concerns beyond this case, and noted that the Punjab and Haryana High Court in April 2025 struck down a state notification allowing Haryana RERA to issue recovery certificates.
