News: SC to Hear NBCC Plea on RERA Exemption for Supertech-17-08-2026

The Supreme Court on Aug 17 agreed to hear state-owned NBCC’s challenge to an NCLAT order that declined to exempt it from statutory provisions under RERA in completing 16 housing projects of debt-ridden Supertech Ltd.

A bench of Chief Justice Surya Kant and Justices Joymalya Bagchi and V Mohana issued notice and sought responses from the Centre and Ram Kishor Arora, ex-director of Supertech. Attorney General R Venkatramani, appearing for the National Buildings Construction Corporation (NBCC) Limited, said the issue concerns exemption from the Real Estate (Regulation and Development) Act, 2016. The matter will be taken up on September 24 with pending cases.

On May 22, the National Company Law Appellate Tribunal (NCLAT) refused to direct a waiver, saying it was not competent to grant exemption from statutory provisions. NBCC had approached it under liberty granted by the top court on February 5.

On that date, the Supreme Court used its power under Article 142 of the Constitution to uphold the NCLAT’s December 12, 2024 order asking NBCC to take over and complete the projects in the interest of homebuyers, some of whom have waited almost two decades. It also restrained tribunals and high courts from passing orders that could stall construction.

The 16 projects comprise 49,748 homes in Uttar Pradesh, Uttarakhand, Haryana and Karnataka, and around 27,000 homebuyers are awaiting houses. The NCLAT judgment followed a top court order, dated October 1, 2014 in the report, allowing the tribunal to examine NBCC’s proposal.

The NCLAT had told NBCC, a PSU under the Union Ministry of Housing and Urban Affairs, to start the process of awarding work before March 31, 2025, award contracts within a month after that and begin construction from May 1, 2025. It ordered an apex court committee and project-wise court committees, with an NBCC nominee on each.

NBCC proposed three phases. Phase 1 covers Eco Village-2, Czar suites, Eco Village-3 and Sports Village in Greater Noida and Romano, Capetown and Eco-citi in Noida. Phase 2 covers Northeye (Noida), Upcountry (Yamuna Expressway), Eco Village-1 (Greater Noida), and Meerut Sports City and Green Village in Meerut. Phase 3 covers Hilltown and Aravile in Gurugram, Rivercrest (Rudrapur), Doon Square (Dehradun) and Micasa (Bengaluru).

Union Bank of India initiated insolvency proceedings against Supertech under section 7 of the Insolvency and Bankruptcy Code on March 20, 2021, claiming more than Rs 431 crore as on January 31, 2021, with accrued interest.