Amrapali group’s assets being auctioned to raise funds for stuck projects

NOIDA: Six properties of now-defunct Amrapali group will be put on sale via online auction with an aim to raise funds for construction of several stuck housing projects

NOIDA: Six properties of now-defunct Amrapali group will be put on sale via online auction with an aim to raise funds for construction of several stuck housing projects in Noida and Greater Noida.

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The six assets that will be auctioned include floor area ratio valued at ₹55 crore with capacity to build three new towers in Princely Estate in Sector 76, 12.73 hectares of land worth ₹44 crore in Udaipur, and Amrapali hospital worth ₹21 crore in Greater Noida’s Sector Omega-I. Besides, a pre-cast factory valued at ₹179 crore, ₹140-crore land and a plant of pre-cast worth ₹39 crore -- all in Greater Noida’s Sector Ecotech Extension 6 -- will be auctioned, said R Venkatramani, a senior lawyer who is appointed as court receiver by the Supreme Court for all the stuck projects of Amrapali.

The interested buyers can bid online on October 31 this year. Once these assets are auctioned, the money collected will be used for the construction of the flats. “We have good amount of funds available with us and the construction on all projects of Amrapali is in full swing. If these assets are auctioned on October 31, then it will help us in raising more money to be spent on the construction,” said Venkatramani.

On July 23 last year, the Supreme Court had appointed Venkatramani as court receiver to control Amrapali’s housing projects and carry out further activities, including registration of ready units, accepting money from buyers, selling unsold apartments and dealing with the central government-owned NBCC Ltd that has been directed to complete the stuck projects.

NBCC has to deliver around 30,000 flats, some of which are partially built, while finishing is to be done in most of the cases.

In the first tranche, NBCC had, on November 29 last year, invited firms to compete for tenders to the following projects: Centurion Park in Greater Noida Sector Techzone 4; Silicon City-I and Silicon City-II in Noida Sector 76, Zodiac in Noida Sector 120, Sapphire I and II in Noida Sector 45, and Princely Estate in Noida Sector 76. Since then, NBCC has started work on all projects in Noida and Greater Noida.

On August 24 this year, NBCC also started the construction work at seceral other projects that include Smart City-Golf Homes, Kingswood, Leisure Park (Phase 1 and 2, and River View), Centurion Park-Terrace Homes, Tropical Garden, Leisure Valley, and Dream Valley. All of these projects have a total of about 16,308 housing units.

“There will be no issue at all and all flats will be finished and delivered as per schedule submitted by the NBCC,” said Venkatramani.

Earlier, the Debts Recovery Tribunal (DRT) had tried to auction the assets of Amrapali but it failed to do so. Now the Supreme Court allowed state-run Metal Scrap Trade Corporation Limited (MSTC) to carry out the auction of these assets.

“Earlier the rates of all assets needed to be auctioned were escalated as per the market sentiment. Now, the rates are better and we hope that MSTC will be able to sell around 40 assets in a phased manner and raise funds for construction of stuck projects,” said Amit Gupta, legal advisor to Amrapali Centurion Park Homebuyers Group that fought the case in the apex court.