Homebuyers affected by the Supertech insolvency case will have to submit their claims by April 8, the insolvency resolution professional (IRP) for the realtor has said.
The Delhi-NCR-based realtor, which has several projects running in Noida and Greater Noida, among others, was declared bankrupt on March 25, 2022 by a bench of the National Company Law Tribunal (NCLT) following non-payment of Rs 432 crore in dues to lenders.
What Is the Case?
The Union Bank of India took Supertech to court early this year for failing to clear its dues since April 2019. Supertech had taken a loan of Rs 350 crore from a consortium of banks to finance its residential projects in Greater Noida. Union Bank of India was the biggest lender, having lent Rs 150 crore to Supertech.
What Happens to Existing Buyers?
Supertech has challenged the insolvency proceedings and has said it would approach the NCLT to appeal against the order. It has been said that the order will not affect all the ongoing projects.
That said, insolvency proceedings are invariably long-drawn and there would be further delays in the delivery of the completed projects. Infratech, Amrapali, and Unitech, which have insolvency proceedings pending against them, have defaulted on delivering several projects, thereby affecting several thousand homebuyers. It has been some years since homebuyers have seen some respite, though insolvency proceedings have been initiated against the realtors under the Insolvency & Bankruptcy Code, which calls for the completion of the process in 270 days.
Thus, homebuyers might well have to wait until a resolution is reached. The only thing going in their favour is that the Supreme Court has said that homebuyers affected by such insolvency are to be treated as creditors in these kinds of proceedings, and that puts them on an equal footing with banks and other creditors.
How Do Homebuyers Submit Claims?
To begin with, homebuyers should first go through their contracts to look for options and clauses, if any. Then they should immediately register their claims with the IRP as they have the status of a creditor.
They can download the form (Form CA for homebuyers) from the website https://www.supertechlimited.com/public-announcement.php, and submit the same along with all property relation documents and communications, such as builder-buyer agreement, bank statement, and any correspondence related to the home, to the Corporate Insolvency Resolution Process (CIRP) section on www.supertechlimited.com
Once this is done, they will become a part of the committee of creditors and will be able to ascertain their claim on the company.
