Noida Twin Towers case back in focus as Supreme Court delays homebuyers' refund hearing

The Noida Twin Towers case has returned to the spotlight after the Supreme Court deferred by three months the hearing on a plea seeking refunds for homebuyers who had booked apartments in the now-demolished Supertech Twin Towers. The The 

The Supreme Court granted additional time after being informed that efforts were underway to resolve the claims of buyers who had not opted for alternative allotments. During the hearing, counsel representing some homebuyers told the court that several buyers have yet to receive their refunds and that the last payment had been made in 2024. The refunds are linked to Supertech's ongoing insolvency proceedings under the Insolvency and Bankruptcy Code (IBC).

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Noida Twin Towers case

The Twin Towers, known as Apex and Ceyane, were part of Supertech's Emerald Court housing project in Sector 93A, Noida. The developer had originally received approval for 14 residential towers. However, revised building plans later added two more high-rise towers, increasing the project's density.

Residents of the Emerald Court society challenged the approvals, alleging that the additional towers violated mandatory distance norms, fire safety regulations and their right to adequate light, ventilation and open spaces. They also argued that the revised plans were approved without obtaining consent from existing apartment owners.

Supreme Court orders demolition

In August 2021, the Supreme Court upheld an Allahabad High Court judgment directing that the towers be demolished. The court found that the towers had been constructed in violation of building regulations and that there had been collusion between Supertech and officials of the Noida Authority.

The court observed that the illegal construction could not be allowed to stand merely because substantial work had already been completed. It also directed that affected homebuyers be refunded their money with 12% interest.

India's biggest controlled demolition

On August 28, 2022, the Twin Towers were demolished through a controlled implosion using thousands of kilograms of explosives. Standing around 100 metres tall with 40 storeys each, the structures collapsed within seconds in what became India's largest controlled demolition exercise.

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Why is the case still in court?

Although the towers no longer exist, the legal dispute remains unresolved. The principal issue now is the refund of investments made by homebuyers who neither accepted alternative apartments nor received complete refunds. Supertech is currently undergoing insolvency proceedings, and the availability of funds has complicated the repayment process.

The Supreme Court had earlier ruled that homebuyers would receive refunds on a pro-rata basis from funds deposited by the Interim Resolution Professional (IRP). However, several buyers continue to await payment, prompting fresh hearings before the apex court. The latest adjournment gives stakeholders another three months to explore possible solutions.