SC seeks reply from Amrapali, other parties on Dream Valley project

The Supreme Court on Friday sought replies from Amrapali and other parties over a plea filed by the home buyers of Dream Valley project in Greater Noida, who claimed the insolvency resolution proceedings initiated against Ultra Home Construction has direct bearing on their project as well. Home buyers, in their petition which was filed last month and was admitted today, said that Amrapali Dream Valley is virtually owned by Ultra Home Construction, which has more than 75% shareholdings. According to one petitioner, since both the companies, Amrapali Dream Valley and Ultra Home Construction, are run by almost same set of directors, including Anil Kumar Sharma and Shiv Priya, the resolution process for Ultra Home Construction cannot be viewed in isolation. Challenging the Sections 14, 33, 53 and 238 of the Insolvency and Bankruptcy Code, 2016, the home buyers have asked the apex court to safeguard their interest. They have also asked the Supreme Court to quash the order passed by the National Company Law Tribunal (NCLT) on October 4 to initiate insolvency resolution proceedings against Ultra Home Construction, and allow all court proceedings against Amrapali and its directors to be reinitiated. The notices have also been issued to the central government, the corporate affairs ministry; Bank of Baroda, the creditor and main petitioner in this case; the Reserve Bank of India; the Greater Noida Authority; the Uttar Pradesh government and Sanjay Gupta, the interim resolution professional appointed in the case. In a similar case, the Supreme Court on October 6 had issued notice to Amrapali and other parties on a plea by the home buyers of Amrapali's Centurian Park project in Greater Noida, who claimed insolvency proceedings against Amrapali Silicon Valley will impact their project as well since Amrapali Silicon City owns 98.84% share in Amrapali Centurian Park.