19 Apr 2024

The National Company Law Appellate Tribunal (NCLAT) has rejected the insolvency plea filed by four homebuyers of Parsvnath Landmark Developers' project in Delhi called La Tropicana Khyber Pass. The plea was rejected on technical grounds as the number of petitioners was less than the threshold of 100 or 10% of total allottees, as required under the Insolvency and Bankruptcy Code. While the total allottees in the project were 488, only four had filed the plea. The homebuyers had obtained an order from RERA directing the developer to refund the amount but it was not complied with. However, NCLAT did not consider them a separate class of financial creditors and upheld their status as allottees.Read more

19 Apr 2024

The Brihanmumbai Municipal Corporation (BMC) has set a deadline of May 25th for property tax payments totaling INR 3,195 crore from the last fiscal year. Failure to meet this deadline may result in penalties, typically a percentage of the outstanding amount. To assist over 5 million property owners, BMC has launched an awareness campaign and extended office hours. Separately, businesses failing to display Marathi or Devanagari signage will face double property tax charges from May 1st. Timely tax payments are crucial for BMC to provide essential services to Mumbai's 20 million residents, ensuring a better city for all.Read more

19 Apr 2024

The Ministry of Finance has approved the release of additional funds for six months until September 2024 to complete around 3.5 million homes under the Pradhan Mantri Awaas Yojana-Gramin (PMAY-G) rural housing scheme. This move will enable the government to fulfil existing commitments under the program, which aims to provide housing for all rural citizens by 2024. No new approvals will be permitted beyond the original target of 29.5 million homes set for the scheme due to the model code of conduct currently in place for general elections.Read more

18 Apr 2024

Housing redevelopment projects are booming in Ahmedabad, with around 50 projects finalized in the last eight months and 400 more in late stages of negotiation. Areas like Navrangpura, Naranpura, Paldi and Memnagar are seeing huge potential for redevelopment. Faster deals and recent High Court order mandating approval from only 75% residents, have prompted more societies to opt for redevelopment. This has also led to high demand for rental homes in these areas. Additionally, some homebuyers who previously sought new properties in the outskirts were now interested in redevelopment as they get additional amenities in prime locations.Read more

18 Apr 2024

The Noida Authority is addressing long-standing delays in flat registrations by directing developers to complete registrations within 15 days if they've paid 25% of their dues, totaling INR 11,175 crore. This initiative aims to expedite ownership rights for homebuyers. Positive progress has been made, with over 1,400 flat registrations approved across 15 projects, benefiting around 300 buyers so far. Encouraging remaining developers to settle dues could further alleviate the backlog, potentially benefiting over 1,100 flats. These steps signify a commitment to resolving delays and facilitating property ownership for Noida residents.Read more

17 Apr 2024

The National Company Law Appellate Tribunal (NCLAT) has upheld the insolvency resolution process initiated by the National Company Law Tribunal (NCLT) against Tulip Hotels for defaulting on corporate guarantees of INR 450 crore each provided to Cox & Kings and EzeeGo One Travel. Yes Bank, the financial creditor, had claimed a default of INR 900 crore against Tulip Hotels after invoking the guarantees when the principal borrowers failed to repay loans. While Tulip Hotels contended it had no relationship with the defaulters, NCLAT observed that as a corporate guarantor, Tulip Hotels became liable to repay the debt as soon as the principal borrowers defaulted. It dismissed the appeal by Tulip Hotels against the NCLT order.Read more

17 Apr 2024

The Bombay High Court overturned a tribunal order cancelling gift deeds of flats executed by a father in favour of his son. The HC held that the objective of the Senior Citizens Act is to ensure residence rights for elderly parents in gifted properties, not invalidate valid deeds. It observed that tribunals are often used to settle property disputes. In this case, the tribunal lacked jurisdiction and should have ensured the father's basic needs were met as the son was willing to care for him, before cancelling deeds. The HC directed the father to reside separately with monthly maintenance of INR 25000 from the son.Read more

16 Apr 2024

The Maharashtra Real Estate Regulatory Authority (MahaRERA) recently ruled that its August 2022 order limiting builders to retaining only 2% of the flat value from booking amounts in case of cancellations could be applied retrospectively. In a 2019 case, MahaRERA directed Godrej Greenview Housing to refund the buyer's INR 5 lakh deposit for a flat booked in 2019, deducting only 2% of the flat value as permitted in the 2022 order. The buyer had alleged violations under Sections 12 and 18 of the RERA Act for false promises by the builder and sought refund with interest. While dismissing allegations of violations, MahaRERA said the builder's forfeiture of the full deposit was impermissible under RERA, and applied the 2022 cancellation guidelines in its ruling.Read more

16 Apr 2024

The Enforcement Directorate has provisionally attached 1,807 acres of land located in Vijaydurg village of Maharashtra's Sindhudurg district in connection with the INR 6,117 crore PMC Bank fraud case allegedly involving HDIL promoters. The attached land parcels worth INR 52.90 crore were allegedly acquired using INR 82.30 crore from the fraud proceeds. Though the land was meant for port development, the project was not implemented. The ED probe found that between 2010-2013, HDIL promoters had diverted funds to buy the land by routing it through 39 farmers. The agency has filed chargesheets against HDIL promoters and others and has provisionally attached assets worth INR 719.11 crore in the case.Read more

15 Apr 2024

The Haryana Real Estate Regulatory Authority (HRERA) has rejected an application by Godrej Developers and Properties LLP seeking extension of registration for their Godrej Air Phase 4 housing project in Sector 85, Gurugram. The original registration granted in 2018 was valid till 2023. However, deficiencies were observed in the extension application regarding project details and documents. Despite reminders by the authority, the deficiencies were not rectified. In February 2024, HRERA issued a final notice and has now rejected the application. It has also warned against third-party rights and advised caution for people to make any bookings. Godrej Developers said they are responding to queries and will make representations to set aside the order.Read more