New Delhi: National Company Law Appellate Tribunal(NCLAT)- New Delhi has appointed NBCC (India) as project management consultant (PMC) for completion of 16 projects of Supertech. The company will complete 16 projects with about 49,748 houses in Uttar Pradesh, Uttarakhand, Haryana and Karnakata.The tentative construction cost of the project is approximately Rs 9,445 crore including 3% contingency. The PMC fees fixed as 8% including 1% marketing fee. It has been appointed as the PMC with no liability, and it will complete the Supertech projects within three years, NBCC said in two separate regulatory filings.

The NBCC shall start process of award of work as per Condition-IV, prior to March 31, 2025 and complete the award of contract within one month thereafter and construction shall commence with effect from May 01, 2025, said the court in its order.

The home buyers/ commercial unit holders, who have already been allotted units by the corporate debtor, which allotments are subsisting, will not be subjected to any escalation of cost, except the dues which are required to be paid by them as per builder buyers agreements.

Rejecting demands to carve out profitable projects for private developers, the NCLAT has entrusted all 16 projects to NBCC. The tribunal underscored that surplus funds from cash-positive projects would be used to finance those in deficit, ensuring the completion of all stalled developments.

Repayment of land authorities, banks and financial institutions will simultaneously begin as per the date and manner decided by apex court committee. The balance amount in a project apart from 70% amount which is to be used for construction, may be used for repayment. The payment for land cost can also be debited from 70% amount as per Section 4(2)(D) of RERA Act and as per the decision of the Apex Court Committee.

NCLAT directed constitution of an apex court committee and project-wise court committee for each project. NBCC (I) will nominate one member in each project-wise court committee.
A separate account, in the name of “NBCC (I)- Supertech Unfinished Project” will be opened and operated by NBCC through its authorised signatories with joint signature of IRP. All funding and finance received by the NBCC/ Apex Court Committee for completion of the project will be credited in the above designated account.

Supertech was admitted to insolvency on March 25, 2022, after Union Bank of India filed a petition under Section 7 of the Insolvency and Bankruptcy Code (IBC), citing defaults on loans extended for projects such as Eco Village-II in Greater Noida. Following the National Company Law Tribunal’s (NCLT) order, an Interim Resolution Professional (IRP) was appointed to oversee the company’s operations and facilitate the resolution process.

The NCLAT intervened in April 2022, directing that construction on non-Eco Village-II projects should continue under IRP supervision while creditors considered the resolution plan for Eco Village-II.
In subsequent appeals, the Supreme Court upheld the continuation of this approach, allowing some projects to proceed while keeping final decisions on Eco Village-II, one of the developer’s key projects, pending further orders.

During the proceedings, the NCLAT adopted a project-wise resolution approach to address the complexities arising from Supertech’s extensive portfolio. Each project’s financial and operational status was evaluated separately, and stakeholders, including creditors, homebuyers, and authorities, were consulted.