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Banking Central | What should Supertech homebuyers do?

Both banks and homebuyers have a long battle ahead at the bankruptcy court

March 28, 2022 / 03:04 PM IST
The top court last month pulled up the builder for not complying with its orders to demolish the twin 40-story towers in Sector 93 of Noida.

The top court last month pulled up the builder for not complying with its orders to demolish the twin 40-story towers in Sector 93 of Noida.

There is something about homebuyers in Delhi-NCR, their woes never seem to end. Recently, Supertech was declared insolvent by the National Company Law Tribunal (NCLT), a move likely to affect 25,000 homebuyers as the Delhi-based real estate player has several ongoing projects in Noida, Gurugram and Ghaziabad.  

Even lenders are worried about what awaits them at the end of Supertech insolvency case. Most likely a deep haircut. Supertech is said to have an exposure of Rs 150 crore to Union Bank of India and an aggregate debt exposure of Rs 1,200 crore to its creditors.

Both banks and homebuyers have a long legal battle ahead at the bankruptcy court. Lenders include Union Bank of India, L&T Finance and Indiabulls Housing Finance.

This is the second big jolt to Supertech in the recent past. In August 2021, the Supreme Court had ordered the demolition of Supertech twin 40-storeyed towers in Noida, citing violation of rules.