Why NCLAT is concerned over Supertech's stalled housing projects
What's the story
The National Company Law Appellate Tribunal (NCLAT) has expressed concern over the delay in construction work at Supertech Ltd's stalled housing projects in India. The delay is attributed to the National Buildings Construction Corporation (NBCC), a state-run construction major. The NCLAT has also criticized the slow process of appointing an interim resolution professional (IRP) for Supertech, which is currently undergoing corporate insolvency resolution.
IRP appointment
NCLT, IBBI to propose IRP names within a week
The NCLAT has directed the National Company Law Tribunal (NCLT) and the Insolvency and Bankruptcy Board of India (IBBI) to propose names for an interim resolution professional within a week.
The appointed IRP will also have to chair the Apex Court Committee monitoring Supertech's stalled projects and preside over the Project-Wise Court Committee, as per NCLAT's order.
Deadline concerns
NBCC has failed to meet deadlines for resuming construction work
The NCLAT has also pointed out that NBCC has failed to meet the deadlines set in its earlier order dated May 6, 2026, for resuming construction work at Supertech's projects.
The tribunal noted that certain conditions were to be complied with by July 31, 2026, but have not been met yet.
These include completion of due diligence of projects and obtaining necessary permissions from statutory authorities.
Timeline finalization
Meeting scheduled with NBCC on September 20
A meeting is scheduled for September 20, which will be attended by representatives from NBCC.
The purpose of this meeting is to finalize firm timelines for compliance and the start of construction work.
The NCLAT has noted that some documents sought by NBCC from the erstwhile suspended Supertech management have not been provided yet.
Next hearing
NCLAT to hear matter further on September 25
The NCLAT has directed that the matter will be heard further on September 25.
On December 12, 2024, the NCLAT had formed an Apex Court Committee and directed state-run NBCC to take over and complete Supertech's 16 stalled housing projects.
The project-wise committees were also directed to oversee this process, with separate accounts for each project to be maintained.