The Supreme Court on Wednesday stayed company law tribunal NCLT order allowing Centre to take over management of embattled realty firm Unitech Ltd.

The court had said on Tuesday that the company law tribunal should have taken its leave before allowing the Centre to take over the management of embattled realty firm Unitech Limited, as it was seized of the matter.

Today, during the hearing, Attorney General K K Venugopal, appearing on behalf of Centre, said the government should not have approached NCLT with the plea to take over management of Unitech.

A bench comprising Chief Justice Dipak Misra and Justices A M Khanwilkar and D Y Chandrachud asked the Centre why it had not taken the apex court&#39;s permission to move the National Company Law Tribunal (NCLT) for suspension of Unitech&#39;s directors and their substitution by government nominees.

Senior lawyers Mukul Rohatgi and Ranjit Kumar, appearing for the real estate firm and its promoters, said the apex court had given time to Unitech chief Sanjay Chandra to negotiate from jail to sell assets to generate Rs 750 crore for refunding money to home buyers but, in the mean time, the Centre has approached the NCLT.

Rohatgi alleged that the NCLT did not issue notice to the firm and its directors and passed the interim order, which was virtually a final order, and allowed the Centre to take over the firm.

The NCLT, on December 8, had suspended all the eight directors of the realty firm over allegations of mismanagement and siphoning of funds and had authorised the Centre to appoint its <a href="http://www.wionews.com/india-news/nclt-allows-govt-to-appoint-10-directors-on-unitech-board-26253">10 nominees on the board</a>.

The NCLT order had come after the Centre moved the panel with a view to protect the interests of nearly 20,000 home buyers.

Unitech alleged that the takeover of the management of the company by the Centre would make it difficult for them to deposit Rs 750 crore as directed by the apex court to safeguard the interests of homebuyers.

Sanjay Chandra, head of the embattled real estate group, was asked on October 30 by the apex court to deposit Rs 750 crore with it by December end for the sake of the homebuyers.

The apex court had on October 30 said jailed businessman Chandra will be granted bail only after the real estate group deposited money with its registry by December end.

Chandra is seeking interim bail from the apex court after the Delhi High Court on August 11 had rejected the plea in a criminal case lodged in 2015 by 158 home buyers of Unitech projects - &#39;Wild Flower Country&#39; and &#39;Anthea Project&#39; - situated in Gurugram.

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The court had said on Tuesday that the company law tribunal should have taken its leave before allowing the Centre to take over the management of embattled realty firm Unitech Limited, as it was seized of the matter.

The Supreme Court on Wednesday stayed company law tribunal NCLT order allowing Centre to take over management of embattled realty firm Unitech Ltd. The court had said on Tuesday that the company law tribunal should have taken its leave before allowing the Centre to take over the management of embattled realty firm Unitech Limited, as it was seized of the matter. Today, during the hearing, Attorney General K K Venugopal, appearing on behalf of Centre, said the government should not have approached NCLT with the plea to take over management of Unitech. A bench comprising Chief Justice Dipak Misra and Justices A M Khanwilkar and D Y Chandrachud asked the Centre why it had not taken the apex court's permission to move the National Company Law Tribunal (NCLT) for suspension of Unitech's directors and their substitution by government nominees. Senior lawyers Mukul Rohatgi and Ranjit Kumar, appearing for the real estate firm and its promoters, said the apex court had given time to Unitech chief Sanjay Chandra to negotiate from jail to sell assets to generate Rs 750 crore for refunding money to home buyers but, in the mean time, the Centre has approached the NCLT. Rohatgi alleged that the NCLT did not issue notice to the firm and its directors and passed the interim order, which was virtually a final order, and allowed the Centre to take over the firm. The NCLT, on December 8, had suspended all the eight directors of the realty firm over allegations of mismanagement and siphoning of funds and had authorised the Centre to appoint its 10 nominees on the board. The NCLT order had come after the Centre moved the panel with a view to protect the interests of nearly 20,000 home buyers. Unitech alleged that the takeover of the management of the company by the Centre would make it difficult for them to deposit Rs 750 crore as directed by the apex court to safeguard the interests of homebuyers. Sanjay Chandra, head of the embattled real estate group, was asked on October 30 by the apex court to deposit Rs 750 crore with it by December end for the sake of the homebuyers. The apex court had on October 30 said jailed businessman Chandra will be granted bail only after the real estate group deposited money with its registry by December end. Chandra is seeking interim bail from the apex court after the Delhi High Court on August 11 had rejected the plea in a criminal case lodged in 2015 by 158 home buyers of Unitech projects - 'Wild Flower Country' and 'Anthea Project' - situated in Gurugram.

Supreme Court stays NCLT order allowing Centre to take over management of Unitech

The National Company Law Tribunal today allowed the government to appoint 10 directors on the board of debt-ridden realty firm Unitech Ltd.&nbsp;

The two-member NCLT bench headed by Chairman Justice M M Kumar has directed the government to submit the 10 names by December 20, the next date of hearing.

The government had approached the NCLT to take over the management of Unitech alleging mismanagement and siphoning of funds by the management.&nbsp;NCLT has also issued a&nbsp;notice to Unitech Ltd directing it to file the reply.

&quot;They have permitted the central government to appoint 10 nominee directors to run the day to day business and list of that would be given by 20th December&quot;, said Additional Solicitor General Sanjay Jain who had appeared on behalf of the Government&nbsp;in NCLT.&nbsp;

He further said: &quot;In the meanwhile, the suspended directors of the company shall not sell, mortgage or create charge either their properties or company&#39;s properties&quot;.

A two-member NCLT bench have permitted Central government to appoint 10 nominee directors to run Unitech over allegations of money siphoning by the original management

The National Company Law Tribunal today allowed the government to appoint 10 directors on the board of debt-ridden realty firm Unitech Ltd. The two-member NCLT bench headed by Chairman Justice M M Kumar has directed the government to submit the 10 names by December 20, the next date of hearing. The government had approached the NCLT to take over the management of Unitech alleging mismanagement and siphoning of funds by the management. NCLT has also issued a notice to Unitech Ltd directing it to file the reply. "They have permitted the central government to appoint 10 nominee directors to run the day to day business and list of that would be given by 20th December", said Additional Solicitor General Sanjay Jain who had appeared on behalf of the Government in NCLT. He further said: "In the meanwhile, the suspended directors of the company shall not sell, mortgage or create charge either their properties or company's properties".

NCLT allows govt to appoint 10 directors on Unitech board

The Supreme Court on Monday asked real estate company Unitech to pay the depositors&#39; money within eight weeks while posting the matter for further hearing after summer vacation.

A bench of the apex court headed by Justice Dipak Misra was hearing the matter and pleas filed by Atul Gupta and others for not getting the flats as promised by the builder.

The court while asking the home buyers to accept the principal amount and 14 percent interest on it, for now, assured them that the final computation of the interest will be done when the case comes up for final disposal after vacation.

Earlier on April 24, the top court had warned Unitech, saying that if the company fails to deposit the amount of interest on or before May 8 then it might be forced to take a coercive decision like attaching the property.

A Delhi Court earlier on April 10 granted an interim bail of three months to both promoters - Ajay Chandra and Sanjay Chandra - in the Unitech case.

The court was hearing the alleged fraud case related to real estate major Unitech Ltd promoters in connection with its delayed housing projects in Noida and Gurgaon.

The buyers were not handed over their flats on time following which they knocked the doors of the apex court seeking a direction to the real estate for getting timely possession and compensation.

The court earlier on April 7 extended the police custody of Ajay and Sanjay by three more days.

The Economic Offences Wing sought extension of remand to seize documents from their offices.

Unitech Vistas, a project with 1,265 apartments in Sector 70 of Gurugram, was launched in 2009 and was scheduled be delivered in December 2012.&nbsp;

(ANI)

A Delhi Court earlier on April 10 granted an interim bail of three months to both promoters -- Ajay Chandra and Sanjay Chandra -- in the Unitech case

The Supreme Court on Monday asked real estate company Unitech to pay the depositors' money within eight weeks while posting the matter for further hearing after summer vacation. A bench of the apex court headed by Justice Dipak Misra was hearing the matter and pleas filed by Atul Gupta and others for not getting the flats as promised by the builder. The court while asking the home buyers to accept the principal amount and 14 percent interest on it, for now, assured them that the final computation of the interest will be done when the case comes up for final disposal after vacation. Earlier on April 24, the top court had warned Unitech, saying that if the company fails to deposit the amount of interest on or before May 8 then it might be forced to take a coercive decision like attaching the property. A Delhi Court earlier on April 10 granted an interim bail of three months to both promoters - Ajay Chandra and Sanjay Chandra - in the Unitech case. The court was hearing the alleged fraud case related to real estate major Unitech Ltd promoters in connection with its delayed housing projects in Noida and Gurgaon. The buyers were not handed over their flats on time following which they knocked the doors of the apex court seeking a direction to the real estate for getting timely possession and compensation. The court earlier on April 7 extended the police custody of Ajay and Sanjay by three more days. The Economic Offences Wing sought extension of remand to seize documents from their offices. Unitech Vistas, a project with 1,265 apartments in Sector 70 of Gurugram, was launched in 2009 and was scheduled be delivered in December 2012. (ANI)

Supreme Court asks Unitech to pay depositors' money within 8 weeks

Realty stocks plunged up to 20 per cent in early trade today with scrips of Unitech and DLF taking a major hit following the government&#39;s measures to clamp down on the black money menace.

Deep in the red, S&amp;P BSE Realty index was lower by nearly 11 per cent at 1,314.97 points in the first hour of trading.

In initial trade, Unitech tumbled nearly 20 per cent while DLF dropped over 13 per cent before making a slight recovery.

While Unitech was trading at INR 4.75, DLF was down at INR 126. Among other scrips, Prestige Estates Projects too shed 17 per cent to INR 153.25, Sobha Developers declined over 11 per cent to INR 240 and Godrej Properties slumped 7 per cent to INR 333.

The benchmark 30-share Sensex crashed over 1,500 points in opening trade before making up some of the lost ground but was down by more than 660 points at 26,928.70 points later.

In a major crackdown against black money, Indian Prime Minister Narendra Modi, late on Tuesday, announced that high denomination notes of INR 500 and INR 1000 would no longer be legal tender.

While declaring a &quot;decisive&quot; war against black money and corruption, he also came out with a slew of steps to assure commoners that their money is safe.

New notes of INR 2,000 and INR 500, with completely new design, would be introduced.

According to experts, demonetisation of INR 1,000 and INR 500 notes are likely to hit unorganised builders and secondary (resale) property market. Housing prices could witness downward pressure, helping revive demand in this segment which is seeing sluggish trends.

(PTI)

Unitech tumbled nearly 20% while DLF dropped over 13% before making a slight recovery

Realty stocks plunged up to 20 per cent in early trade today with scrips of Unitech and DLF taking a major hit following the government's measures to clamp down on the black money menace. Deep in the red, S&P BSE Realty index was lower by nearly 11 per cent at 1,314.97 points in the first hour of trading. In initial trade, Unitech tumbled nearly 20 per cent while DLF dropped over 13 per cent before making a slight recovery. While Unitech was trading at INR 4.75, DLF was down at INR 126. Among other scrips, Prestige Estates Projects too shed 17 per cent to INR 153.25, Sobha Developers declined over 11 per cent to INR 240 and Godrej Properties slumped 7 per cent to INR 333. The benchmark 30-share Sensex crashed over 1,500 points in opening trade before making up some of the lost ground but was down by more than 660 points at 26,928.70 points later. In a major crackdown against black money, Indian Prime Minister Narendra Modi, late on Tuesday, announced that high denomination notes of INR 500 and INR 1000 would no longer be legal tender. While declaring a "decisive" war against black money and corruption, he also came out with a slew of steps to assure commoners that their money is safe. New notes of INR 2,000 and INR 500, with completely new design, would be introduced. According to experts, demonetisation of INR 1,000 and INR 500 notes are likely to hit unorganised builders and secondary (resale) property market. Housing prices could witness downward pressure, helping revive demand in this segment which is seeing sluggish trends. (PTI)

India: Real estate shares tumble 20% in early trade

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