Supertech Supreme Court – Whom to trust if not authority who is supreme power (Analysis and review of verdict)

In a big move, the Supreme Court on 31st Aug 2021 ordered to demolish the twin towers of Supertech Emerald court, sector 93A, Noida Expressway. The civil society is giving mixed kinds of reactions; some are supporting as a good move and some are not in favour of the verdict.

But in between these thoughts, there are a whole lot of unanswered questions in this verdict and nobody can answer those questions:

No one in India is having expertise in demolishing this type of high rise building?

  • It is 40 story building and already 32 stories are constructed so far. So approximately a 100 m tall concrete structure is standing. In India, we do not have any past expertise to demolish 100 m tall concrete structures that too in a highly dense area because other residential towers are just 9 m away from this building. 
  • When the demolition process will happen then at least 100 m area should be evacuated for safety and precautionary purposes? Where will those people go? In the 100 m range there are other high rise housing societies and with so much dust and impact of explosions, structures of nearby buildings can be weakened, who will take responsibility for this ??
  • In India, we have never ever demolished more than 18 stories building so who will take responsibility to demolish this? God forbid if any unwanted mishappening took place then who will be responsible; Noida authority, expert committee or Supreme Court or developer?

Who should be trusted by customers and developers when approval of Noida authority is challenged?

  • Customers and developers both go through the approval of Noida authority or any authority as the bible and even banks who gives loan to customer or developer goes by authority approvals. In this case, the authority submitted in response that construction was done as per approval from Noida authority then why developers or customers should suffer? If both towers are removed how will the builder recover 150 cr+ invested to construct these 2 towers till now? If this is wrong approval done by Authority in any way, Then why the impact of this should be brought on the developer or customer?

Will this type of order will be applicable in 1000+ buildings where authority has given approval of extra FAR in Noida/Greater Noida/Ghaziabad?

  • For years, authorities across India are increasing FAR based on the development of cities or infrastructure improvement reasons like in Noida all societies which are near to Metro can get additional FAR under TOD (Transit Oriented Development) policy by paying extra money! Now, where are those laws applicable that new towers should not be made?
  • This verdict will open a new Pandora box because from last 10-20 years on name of development FAR increased in Noida/ Greater Noida/ Ghaziabad someone in the name of Farmer more compensation / Metro connectivity / Rapid rail development etc. So as per this order, all those towers (even developed) should be demolished as they are not as per the initial plan of approval.

Will authority return the cost paid to him against FAR and should not be all this cost should be refunded

  • Supertech paid Rs 25 cr as additonal FAR in 2009 to noida authority, should not this be refunded back with interest to the developer??
  • As per data available approx 150 cr + invested by supertech in construction till now , Why not cost of this should be equally imposed on authority and developer both if they both are equally involved ??

There could be some better solutions for this problem:

  • The court should have stopped the construction on the current stage instead of making this 40 stories and asked Supertech to develop more and more facilities in the existing society by imposing a reasonable cost of 10-20 cr so that society can have new look and more enhanced facilities. This could have been done by making a committee of RWA/Developer and some retired Judge from supreme court
  • They should have asked to demolish one tower so that space can be increased between towers and minimize the adverse impact on everyone.
  • They should have asked the Noida authority not to give additional FAR in any building which is already built.
  • They should have punished Noida authority people who signed on all those approvals and have put all these penalties to be paid by UP Govt/Noida authority.
  • As construction done by developer and flats purchased by customers after approval and banks gave loan so everybody invested based on Noida authority approvals so in this all this money should have been refunded by Authority with interest and action should have been taken against authority officials by setting a new benchmark in real estate industry across India

These all are my personal views and not against anyone because positivity comes with the construction of something new and we should always focus on the bright side of problem-solving. This is what we as customers, investors, banks and developers need.

3 comments

  1. Noida Authority has never devised a cibil kind of rating structure. This would have helped them in alotting land parcels to developers with better track record on commercial ( Land Payment Record) & technical grounds i.e. Construction Quality & Statutory Compliances.

    If Amrapali was defaulting payments on allotted lands why Authority has continued to allot new land parcels.

    Why there is no incentive for developers who pay on time. Like preference in bidding process.

    Why there is no quality parameters set for construction by authority.

    In South India once builders deliver property and hand over society to RWA then builder can’t sell unit ( unsold stock) without RWA’s NOC as builders have to pay maintenance for unsold stock in equal proportion to buyers.

    In fact it is Noida Authority who has created this mess and developers who have malafide intentions have exploited this opportunity to the fullest.

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