The Supreme Court on Tuesday gave the CBI a go-ahead to register six more cases, in addition to the 22 already registered, in connection with its probe into the alleged collusion between financial institutions and real estate developers to dupe homebuyers.
ARTICLE CONTINUES BELOW VIDEO
The three-judge bench of Justices Surya Kant, Ujjal Bhuyan, and N K Singh permitted the central probe agency to register the cases after Additional Solicitor General Aishwarya Bhati, appearing for the CBI, informed the court that the agency had completed its preliminary inquiry with respect to projects falling outside the Delhi-NCR. The preliminary probe covered projects in Mumbai, Bengaluru, Kolkata, Mohali and Prayagraj.
The investigation, the Additional Solicitor General said, had led to the conclusion that there was a cognisable offence and that six more cases needed to be registered to carry the investigation forward.
Finding a prima facie nexus between renowned banks and builders in the execution of projects in Noida, Greater Noida, Yamuna Expressway, Gurgaon, and Ghaziabad, the apex court had on April 29 asked the CBI to conduct seven preliminary inquiries against developers, including Supertech Limited.
The order came on a batch of petitions filed by over 1,200 homebuyers who booked flats under subvention plans in various housing projects in NCR, especially Noida, Greater Noida, and Gurgaon, alleging that they were being forced by banks to pay EMIs though they were yet to be granted possession.
On July 22, the probe agency told the Supreme Court that it had completed six preliminary inquiries and 22 regular cases were required to be registered in pursuance of this for further investigation.
The court accepted the request while also noting that the seventh preliminary inquiry, which is into the projects of builders other than Supertech Ltd in Mumbai, Bengaluru, Kolkata, Mohali, and Allahabad, is still underway, and granted six weeks to complete it. Under the subvention scheme, banks pay the loan amount directly to the developer.
Story continues below this ad
The homebuyer’s monthly installments get deferred till they receive possession and the developer agrees to bear the interest burden until then. However, with many real estate developers running into financial problems and defaulting on payments, the banks started demanding EMIs from the homebuyers even as they had not obtained possession of their flats.
© The Indian Express Pvt Ltd
