Ansal API Sushant Megapolis Aastha Pride Bodaki, Greater Noida

AASTHA MIG ZONE II, developed by M/S UTTAM STEELS & ASSOCIATES { CONSORTIUM) THROUG, was officially launched on 01-Apr-2015 and was expected to be completed by 30-Jun-2022. Registered under RERA No. UPRERAPRJ5670, the project comprises 1 tower and offers 128 residential units, including 2 BHK, with unit sizes ranging from 700 to 700 Square feet across a total area of 1.20 Acre.

Homebuyers of Ansal API's Sushant Megapolis protested delays, with some investors waiting since 2007 and having paid 50-90% of the project cost. Ansal API has over 27 delayed projects in multiple cities, with average delays of 3-4 years and some exceeding 5 years. Buyers were asked to shift to other projects in different cities, but rejected the offer.

The National Company Law Appellate Tribunal (NCLAT) set aside a plea seeking insolvency proceedings against Ansal Hi-tech Township Ltd, filed by homebuyers of a project in Greater Noida. The appellate tribunal upheld the order by the National Company Law Tribunal (NCLT), which stated that the allottees belong to different projects and do not fulfill the criteria to file an insolvency case.

UP RERA imposed a fine of ₹14.4 crore on Ansal API for selling 329 flats without registration, issuing a show-cause notice with a 30-day deadline for compliance. The penalty was levied because the company sold flats in a project without registering it with RERA, which is mandatory after RERA's formation in 2017.

Investors protested the start of insolvency proceedings against Ansal API, stating that their money was stuck in the company's projects, with some waiting for possession since 2009. Over 3,000 investors in the Sushant Golf City project are facing uncertainty. The NCLT appointed an interim resolution professional (IRP) to evaluate Ansal API's projects.

The National Company Law Tribunal (NCLT) declared Ansal API bankrupt, leading to protests from investors and homebuyers. Over 3,000 investors in Ansal API's Sushant Golf City are facing uncertainty, with some awaiting possession since 2009. The Uttar Pradesh government has ordered an FIR and formed a committee to support aggrieved buyers.

The Supreme Court ruled that real estate developers cannot avoid monetary penalties for consumer rights violations by claiming insolvency. The court emphasized that allowing such tactics would erode consumer trust and worsen the situation for homebuyers already suffering from delays and contract breaches. This verdict has implications for developers attempting to misuse insolvency proceedings.