Real estate developer Supertech Ltd was directed on Tuesday to deposit Rs 10 crore with the Supreme Court registry to safeguard buyers of flats in the builder’s litigation-marred Emerald project in Noida.
The order came two years after the Allahabad high court ordered demolition of the project, which has two multi-storey towers, based on a lawsuit by residents that the builders didn’t follow fire safety rules.
The twin towers have 857 apartments, of which about 600 were sold.
The demolition order, pending execution, put the home buyers in a state of uncertainty.
“Purchasers should not be kept in illusion,” said a Supreme Court bench headed by Justice Dipak Misra, after ordering Supertech to deposit the money to refund the home buyers in case the buildings were razed.
The builders have challenged the high court order in the top court. The court said it will hear Supertech’s appeal at the earliest.
In a similar order in July, the top court directed the company to deposit Rs 5 crore with its registry.
The company was asked later to pay 10% a month of the invested amount from January 5, 2015, to 17 home buyers within four weeks.
Also, the National Building Construction Corp (NBCC) was asked to investigate if building rules broken. The NBCC submitted its report, which the court said senior advocate P Narasimha will take a look at.