In a significant move aimed at protecting homebuyers, the Supreme Court on Tuesday directed the Central Bureau of Investigation (CBI) to initiate seven preliminary inquiries into the alleged collusion between real estate developers and banks in Delhi and the National Capital Region (NCR).
The directive was issued by a bench comprising Justices Surya Kant and N Kotiswar Singh while hearing a set of petitions filed by aggrieved homebuyers. These individuals had purchased flats under various subvention schemes in regions including Noida, Greater Noida, and Gurugram. Despite not receiving possession of their homes, the petitioners claimed that banks were pressuring them to pay Equated Monthly Instalments (EMIs), causing severe financial distress.
The court expressed strong concern over the apparent exploitation of homebuyers, remarking that several builders and banks had “taken poor homebuyers to ransom.” “Homebuyers are made to cry,” the bench observed, highlighting the emotional and financial toll of the situation.
The first of the CBI's preliminary inquiries will center on Supertech Limited, a high-profile developer already facing multiple allegations of regulatory violations. A second inquiry will expand the scope beyond Delhi, focusing on other builders operating in areas such as Noida, Greater Noida, Ghaziabad, Gurugram, and along the Yamuna Expressway.
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The bench underscored the urgency of an impartial investigation, stating that the situation had become untenable and required an independent effort to "unearth the truth."
The court noted that the CBI itself had proposed the idea of conducting preliminary investigations to better understand the strategies and intent behind the alleged collusion between real estate companies and financial institutions.
To facilitate the investigation, the Supreme Court also instructed the Directors General of Police (DGPs) of Uttar Pradesh and Haryana to identify and recommend officers to assist the CBI. A Special Investigation Team (SIT) will be formed, comprising CBI officials, selected officers from state police forces, and domain experts.
Additionally, the court ordered the appointment of nodal officers from key institutions, including the Reserve Bank of India and various regional development authorities, to provide institutional support and ensure the investigation proceeds smoothly.
The Supreme Court’s order marks a critical intervention in what it described as a deep-rooted and harmful nexus, raising hopes for accountability and relief among thousands of affected homebuyers across the NCR.
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