Supreme Court Starts Process For Auction Of Unitech Assets

Source – bloombergquint.com

The Supreme Court of India today ordered that a public notice inviting objections to sale of assets of Unitech Ltd. be issued, setting in motion the auction process. The public notice is aimed at ensuring that properties are unencumbered before the sale takes place.

The order was passed by a three-judge bench headed by the Chief Justice of India Dipak Misra while hearing petitions filed by Unitech homebuyers. The portal for homebuyers to submit their claims for refund will now be closed, the court said.

The apex court also allowed the group to sell Unitech Power Transmission Company to the Shapoorji Pallonji Group.

The Supreme Court on Oct. 30 directed Unitech to deposit Rs 750 crore by December to secure bail for its Director Sanjay Chandra, who is in jail in a case of alleged forgery lodged by buyers of Unitech’s housing project in Gurugram. In today’s hearing, the top court once again made it clear that Chandra’s bail will be considered only once the money has been deposited.

Unitech has over Rs 6,000 crore debt and over 16,000 undelivered units from a total of nearly 70 projects. Both Sanjay Chandra and his brother Ajay Chandra continue to remain in judicial custody.

The matter is scheduled to be heard next on May 2.