Supertech directed to refund money to flat owners in a month

Written by fe Bureau | New Delhi | Updated: Jul 31 2014, 06:23am hrs
The Supreme Court on Wednesday directed real estate firm Supertech to refund within a month the principle amount to those flat owners who had applied for refund before April 30. The firm is likely to refund around R35 crore to the allottees of twin towers Apex and Ceyane towers on the Noida Expressway which were directed to be demolished by the Allahabad High Court for flouting building laws. There are around 53 allottees, out of around 600, who had sought refund of their amount after the HC order.

Holding that flat owners cannot be forced to remain in limbo and to wait indefinitely due to litigation, a bench headed by Chief Justice RM Lodha further ordered the builder to pay a 14% compound interest by October 30. The court also asked Supertech to allot alternate flats within a month to those allottees, who did not want a refund and had agreed to accept builders offer to opt for a flat in any other Supertech project.

The bench turned down Supertechs plea which contended that it is not in a position to pay back the money as the interest part had grown more than the principal.