SC orders auctioning of Unitech’s assets

New Delhi, April 9 (IANS) The Supreme Court on Monday ordered that a public notice inviting objections to sale of assets of real estate major Unitech Ltd be issued for auctioning them, in order to pay back home buyers seeking refund of their money.

The public notice is aimed at ensuring that properties are unencumbered before the sale takes place.

A bench of Chief Justice Dipak Misra, Justice A.M. Khanwilkar and Justice D.Y. Chandrachud sai that a public notice be issued in prominent dailies for ascertaining that the properties were free from incumberances and may be auctioned.

In a related development, the court also imposed a cost of Rs 75 lakh on Om Shakti Agency (Madras) Pvt Ltd for its submission that it cannot deposit Rs 90 crore with the apex court registry in lieu of purchasing Unitech Ltd's property near Chennai.

Earlier, the company had said it was going to purchase the land of Unitech Ltd and deposit the money with the top court, and would disburse it to the home buyers who wanted their money back.

However, the company now said it cannot deposit the money as it does not have the required funds.

Senior counsel Ranjit Kumar, appearing for Unitech, told the court that a Bengaluru-based company has taken over one of the subsidiaries of Unitech and would be paying about Rs 100 crore, which will be deposited with the top court.

Earlier, the court had said that it will get auctioned the unencumbered properties of Unitech, including personal assets of Managing Director Sanjay Chandra, to realise the dues of the home buyers.

(This story has not been edited by Social News XYZ staff and is auto-generated from a syndicated feed.)