/2023 INSC 0135/ NON­REPORTABLE IN THE SUPREME COURT OF INDIA       CIVIL ORIGINAL JURISDICTION I.A. No.192235/2022, I.A. No.192248/2022, I.A. No.192436/2022, I.A. No.12917/2023 and I.A. No.26340/2023 IN WRIT PETITION(CIVIL) NO(S). 940 OF 2017 BIKRAM CHATTERJI & ORS. ….PETITIONER(S) VERSUS UNION OF INDIA & ORS. ….RESPONDENT(S) J U D G M E N T Rastogi, J. 1. The present batch of IAs has been filed by various promoters/ developers/builders working in Noida/Greater Noida for recalling of the   order   dated   07 th   November,   2022.     Pursuant   thereto,   orders dated   10 th   June,   2020,   19 th   August,   2020   and   25 th   August,   2020 passed in the pending proceedings were recalled.  1 2. At   a   given   point   of   time,   lease   deeds   were   executed   between such project builders/developers/promoters with the Noida/Greater Noida authorities, keeping in view the commercial considerations on agreed   terms   and   conditions,   later   sought   to   invalidate   and intended to amend their contractual terms so far as the payment of interest is concerned, through the intervention of this Court and all of   them   have   accordingly   filed   their   respective   IAs   for   recalling   of the order dated 7 th  November, 2022 passed by this Court.   3. To look into the complaint of the present applicants, it will be apposite   to   take   note   of   the   background   facts,   which   may   be relevant for  proper  appreciation  of the grievance which  each  of the applicants   has   pointed   out   in   raising   their   joint   voice   for   recall   of the order dated 7 th   November, 2022, pursuant to which the interim orders   passed   by   this   Court   dated   10 th   June,   2020,   19 th   August, 2020, and 25 th  August, 2020, stood recalled by this Court.  4. It clearly manifests from the record that various writ petitions were filed by  the homebuyers, some may be in public interest, but the   substratum   of   the   writ   petitions   was   pertaining   to   various projects of the companies of Amrapali Group, working as developers 2 in Noida/Greater Noida.   It was pointed out that in the year 2011, in Noida and Greater Noida, Amrapali Group of Companies entered into   various   real   estate   projects   for   housing   and   proposed   to construct   approximately   42,000   flats   and   to   fulfil   their commitments,   various   attractive   projects   through   the   form   of brochures   was   widely   published   and   it   was   assured   that   the delivery   of   possession   shall   be   made   within   the   time­schedule   as indicated in the brochure and it was promised that they will provide world class amenities to the homebuyers. On this public assurance extended   by   the   Amrapali   Group   of   Companies,   it   came   on   record that   various   homebuyers   booked   their   apartments   during   the period   2010­2014   and   after   entering   into   Allotment­cum­Flat Buyers Agreements, payments were made by the homebuyers from 40% to 100% of the total sale consideration and later the Amrapali Group   of   Companies   failed   to   fulfill   their   commitments   and   were unable   to   make   available   the   “dream   flats”   to   their   customers   and their   lifetime’s   savings   and   hard­earned   money   was   allegedly siphoned by Amrapali Group of Companies.   3 5. At   this   stage,   this   Court   in   the   interest   of   justice,   stepped   in and   took   cognizance   to   secure   the   interests   of   homebuyers, obviously within the four corners of law and  proceeded to consider as to what relief could be extended to the homebuyers, who booked their flats in various projects of Amrapali Group of Companies. After a   detailed   discussion,   this   Court   decided   those   writ   petitions   by   a judgment   dated   23 rd   July,   2019   in   Bikram   Chatterji   &   Ors.   Vs. Union of India & Ors. 1   and passed certain restraints while holding a   vigil   over   the   functioning   of   Amrapali   Group   of   Companies   and directed   to   take   all   other   steps   which   may   secure   the   interests   of homebuyers.     Para   no.156   is   relevant   for   the   purpose   and   is reproduced hereinbelow: “ 156.   Resultantly, we order as follows: 156.1.   The   registration   of   Amrapali   Group   of   Companies   under RERA shall stand cancelled. 156.2.   The   various   lease   deeds   granted   in   favour   of   Amrapali Group   of   Companies   by   Noida   and   Greater   Noida   Authorities   for projects in question stand cancelled and rights henceforth, to vest in Court Receiver. 156.3.   We   hold   that   Noida   and   Greater   Noida   Authorities   shall have no right to sell the flats of the homebuyers or the land leased out   for   the   realisation   of   their   dues.   Their   dues   shall   have   to   be recovered   from   the   sale   of   other   properties   which   have   been attached.   The   direction   holds   good   for   the   recovery   of   the   dues   of the various banks also. 1 2019 (19) SCC 161 4 156.4.   We   have   appointed   NBCC   to   complete   the   various   projects and   hand   over   the   possession   to   the   buyers.   The   percentage   of commission of NBCC is fixed at 8%. 156.5.   The   homebuyers   are   directed   to   deposit   the   outstanding amount   under   the   agreement   entered   into   with   the   promoters within   3   months   from   today   in   the   bank   account   opened   in   UCO Bank  in the  branch  of  this Court.  The  amount  deposited  by  them shall   be   invested   in   the   fixed   deposit   to   be   disbursed   under   the order of this Court on phase­wise completion of the projects/work by NBCC. 156.6.   In view of the finding recorded by the forensic auditors and fraud   unearthed,   indicating   prima   facie   violation   of   FEMA   and other   fraudulent   activities,   money   laundering,   we   direct   the Enforcement   Directorate   and   authorities   concerned   to   investigate and   fix   liability   on   persons   responsible   for   such   violation   and submit   the   progress   report   in   the   Court   and   let   the   police   also submit the report of the investigation made by them so far. 156.7.   We direct the Institute of Chartered Accountants of India to initiate   the   appropriate   disciplinary   action   against   Mr   Anil   Mittal, CA   for   his   conduct   as   reflected   in   various   transactions   and   the findings recorded in the order and his overall conduct as found on forensic   audit.   Let   appropriate   proceedings   be   initiated   and concluded   as   early   as   possible   within   6   months   and   a   report   of action taken to be submitted to this Court. 156.8.   We   direct   various   companies/Directors   and   other incumbents in whose hands money of the homebuyers is available as   per   the   report   of   forensic   auditors,   to   deposit   the   same   in   the Court   within   one   month   from   today   and   to   do   the   needful   in   the manner as observed. The last opportunity of one month is granted to   deposit   the   amount   and   to   do   the   needful   failing   which appropriate action shall be taken against them. 156.9.   The Ministry concerned of the Central Government, as well as the State Government and the Secretary of Housing and Urban Development,   are   directed   to   ensure   that   appropriate   action   is taken   as   against   leaseholders   concerning   such   similar   projects   at Noida and Greater Noida and other places in various States, where projects   have   not   been   completed.   They   are   further   directed   to ensure   that   projects   are   completed   in   a   time­bound   manner   as contemplated in RERA and homebuyers are not defrauded. 156.10.   We   appoint   Shri   R.   Venkataramani,   learned   Senior Advocate,  as  the  Court   Receiver.   The   right   of   the   lessee   shall  vest in   the   Court   Receiver   and   he   shall   execute   through   authorised 5 person on his behalf, the tripartite agreement and do all other acts as  may   be  necessary   and   also   to  ensure  that   title  is   passed  on   to homebuyers and possession is handed over to them. 156.11.   We   also   direct   Noida   and   Greater   Noida   Authorities   to execute the tripartite agreement  within one month concerning  the projects   where   homebuyers   are   residing   and   issue   completion certificate notwithstanding that the dues are to be recovered under this   order   by   the   sale   of   the   other   attached   properties.   Registered conveyance   deed   shall   also   be   executed   in   favour   of   homebuyers, they are to be placed in the possession and they shall continue to do   so   in   future   on   completion   of   projects   or   in   part,   as   the   case may be. We direct the Noida and Greater Noida Authorities to take appropriate   action   to   do   the   needful   in   the   matter.   The   Water Works   Department   of   the   area   concerned   and   the   Electricity Supplier   are   directed   to   provide   the   connections   for   water   and electricity to homebuyers forthwith.” 6. After   passing   of   the   detailed   judgment   by   this   Court,   the matter was listed for further hearing only with an object to comply its   directions   and   to   make   an   endeavour   that   each   of   the homebuyers’ interests be secured, as possible.    7. When the matter was taken up for further hearing, apart from the defaults committed by Amrapali Group of Companies ­ of which cognizance was taken by this Court ­ the Court Receiver submitted his   note   exploring   the   possibilities   and   avenues   for   securing   and augmenting   the   funds   for   execution   of   stalled   projects   of   Amrapali Group   of   Companies.     Indisputably,   upto   this   stage,   the   grievance was confined only to examine the stalled projects of Amrapali Group 6 of   Companies   and   this   Court   ventured   to   find   out   as   to   how   the interests   of   homebuyers   could   be   secured,   particularly,   in   the projects of Amrapali Group of Companies. 8. Around this time, when this Court was taking a call based on the   Court   Receiver’s   Report,   to   take   a   further   course   of   action   in making   compliance  of   the   directions   referred  to   in   para  156  of  the judgment  passed by   this Court, of  which  reference has  been  made hereinabove,   I.A.   No.4139   of   2020   was   filed   by   a   builder,   named, Ace Group of Companies, seeking certain reliefs on the same lines, as   prayed   for   on   behalf   of   flat   buyers   of   Amrapali   Group   of Companies and it was claimed by Ace Group of Companies in their application   that   they   may   also   get   the   benefit   of   reduction   in   the rate of interest which is to be charged by the authority.   It may be appropriate to notice that Ace Group of Companies approached this Court by filing IA No.4139 of 2020 on its own behalf and not being authorized   by   the   builders   who   have   entered   into   their   respective lease   deeds   with   the   Noida/Greater   Noida   authorities,   neither   the applicant (Ace Group of Companies) was holding  power  of attorney on   behalf   of   others   nor   authorized   by   other   developers/project 7 proponents working with Noida/Greater Noida authorities, or that it was in a representative capacity.   9. At   the   same   time,   there   was   no   material   available   on   record, even placed by Ace Group of Companies, and no builder, including Ace   Group   of   Companies,   could   claim   parity   with   the   Amrapali Group of Companies for the reason that this Court by its judgment dated   23 rd   July,   2019,   not   only   cancelled   the   lease   deed   executed between   the   Amrapali   Group   of   Companies   and   Noida/Greater Noida   authorities,   but   also   appointed   a   Court   Receiver   and   issued certain   detailed   directions   ­   of   which   reference   has   been   made   in para   156   of   the   judgment   of   this   Court   ­   in   reference   to   the Amrapali Group of Companies.   10. We   are   not   going   at   this   stage   on   the   background   facts   as   to what transpired to this Court, but from the material it reveals that on   a   complaint   made   by   Ace   Group   of   Companies   for   reduction   of rate   of   interest   to   be   charged   by   the   Noida/Greater   Noida authorities as alike extended to Amrapali Group of Companies, the matter   was   heard   on   27 th   May,   2020   and   order   was   reserved   and was pronounced on 10 th  June, 2020.  It may be noticed that looking 8 to   the   problems   in   cash   flow   because   of   unprecedented   Covid­19 pandemic   situation   and   its   aftermaths,   general   directions   were issued by the State of Uttar Pradesh on 9 th  June, 2020 reducing the rate of interest to be charged by the authorities ­ which was in rem applicable   to   all   the   builders/project   proponents   who   are   working and covered under the general directions issued by the Government of   Uttar   Pradesh   ­   and   obviously   this   notification   could   not   have been available before the Court when the order was reserved on 27 th May,   2020   and     pronounced   on   10 th   June,   2020,   in   reference   to which   the   Court   reduced   the   rate   of   interest   on   the   outstanding premium and other dues to be realized in all such cases at the rate of 8% per annum and made it applicable to all 114 plots which were allotted   from   the   year   2005   onwards   by   Noida/Greater   Noida authorities.     The   extract   of   para   42   of   the   order,   which   is   relevant for the purpose is reproduced hereunder:     “42. Considering  the current state of real estate, the projects are standstill,   and   in   order   to   give   impetus   to   such   housing   projects and  mainly   considering  plight   of   home  buyers   and  as  pointed   out by   Noida   and   Greater   Noida   Authorities   that   114   plots   were allotted   from   2005   onwards,   most   of   projects   are   incomplete;   we direct  that  rate of  interest  on the outstanding   premium and  other dues to be realized in all such cases at the rate of 8% per annum and let the Noida and Greater Noida Authorities do a restructuring of   the  repayment   schedule   so  that   amount   is  paid  and   Noida  and 9 Greater   Noida   Authorities   are   able   to   realize   the   same.     As   to reasonable time frame, we would kike to hear the parties.   In case of   failure   to   pay,   the   concession   granted   shall   stand   withdrawn. However,   at   the   same   time,   the   Noida   and   Greater   Noida Authorities shall also ensure that not only instalments/money are deposited,   but   also   all   such   projects   are   completed   within   the stipulated time.”      11. The said order came to be clarified by an order dated 10 th  July, 2020 and later further orders came to be passed on various IAs filed by   M/s   Prateek   Group   of   Companies   and   other   groups,   who   are admittedly nowhere on screen from 22 nd   May, 2020 to 25 th   August, 2020.  It may be relevant to note that regarding the projects of M/s Prateek   Group   of   Companies,   the   date   of   allotment   of   lease   deed was between years 2008 and 2012 and all projects were completed much   before   the   cognizance   was   taken   by   this   Court   in   the   year 2019.     As   noticed   by   us  in   our   order   dated  7 th   November,   2022,   it will be apposite to reproduce the same :  “That  the   Applicant   Company,   through   its  group   companies has   been   allotted   the   following   plots   for   the   development   of group   housing   projects   as   well   as   the   progress   of   the Applicant on the said projects: Sl. No . Plot   No.   & Location Allottee Company Project Name   & Number   of Flats constructed Date   of   Allotment & Lease Deed 10 1. E­11,  Sector   61, Noida Prateek Buildtech (India) Pvt. Ltd. Prateek Fedora 251 26.12.2008 / 31.12.2008 2. GH­04/B Sector 45 Noida Prateek Buildtech (India) Pvt. Ltd. Prateek Stylome 545 08.03.2010 / 31.03.2010 3. GH­01, Sector 120, Noida. Prateek Realtors   India Pvt. Ltd. Prateek Laurel 1530 10.12.2009 / 07.01.2010 4. GH­01, Sector 77, Noida Prateek Realtors   India Pvt. Ltd. Prateek Wisteria 1800 31.03.2010 / 26.05.2010 5. GH­01/A (Beta­II) Sector 107, Noida Prateek Infraprojects India Pvt. Ltd. Prateek Edifice 423 02.02.2012 / 15.02.2012 12. However,   an   outstanding   of   Rs.23.78   crores   was   not   paid   to the   Noida/Greater   Noida   authorities   ­   which   was   due   and   payable on behalf of M/s Prateek Group of Companies and the demand was outstanding for a sufficiently long time.   But after the orders came to be passed by this Court, later on dtd. 19 th  August, 2020 and 25 th August,   2020,   an   application   was   filed   on   behalf   of   Noida/Greater Noida   authorities   for   recalling   of   all   the   three   orders   referred   to hereinabove.   13. At   this   stage,   there   was   strong   objection   made   by   various group   of   companies,   including   Ace   Group   of   Companies,   Prateek 11 Group   of   Companies,   Paramount   Group   of   Companies   and   Ajnara Group   of   Companies   and   also   by   other   individual   builders/project proponents   and   after   the   matter   was   heard   at   length   and   taking note   of   the   objections   made,   this   Court   finally   arrived   at   the conclusion   that   miscellaneous   orders   passed   by   this   Court,   in extending   the   relief   to   other   promoters/developers   other   than Amrapali   Group   of   Companies   under   its   order   dated   10 th   June, 2020 followed with orders dated 19 th  August, 2020 and 25 th  August, 2020   deserve   to   be   recalled   and   accordingly   under   order   dated   7 th November,   2022,   such   interim   orders   passed   by   this   Court   were recalled with  a further  direction that the rate of interest  should be calculated   in   respect   of   builders   other   than   Amrapali   Group   of Companies,   after   taking   into   consideration   the   effect   of   the   order dated 9 th  June, 2020 passed by the State of U.P.    14. After   passing   of   the   order   dated   7 th   November,   2022,   the present   IAs   being   I.A.   No.192235/22   by   M/s   Prateek   Infraprojects India Pvt. Ltd.; I.A. No.192248/22 by CREDAI & NAREDCO; I.A. No. 192436/22   by   M/s.   Paramount   Propbuild   Pvt.   Ltd.;   I.A.   No. 12917/23 by ET Infra Developers Pvt. Ltd. and I.A. No.26340/23 by 12 M/s.   Surya   Jyoti   Software   Pvt.   Ltd.   have   been   filed   and   each   of them   has   come   with   a   common   voice   that   once   the   orders   were passed   by   this   Court   after   hearing   the   parties   and   taking   into consideration   the   objections   raised   by   Noida/Greater   Noida authorities, there was no reason or justification for recalling of such orders   under   the   order   impugned   dated   7 th   November,   2022  and   a joint   request   is   made   that   the   order   dated     7 th   November,   2022 passed   by   this   Court   recalling   the   orders   dated   10 th   June,   2020, 19 th  August, 2020 and 25 th  August, 2020, may be recalled.   15. In   support   thereof,   a   further   submission   is   made   that   one   of the   orders   passed   on   10 th   July,   2020   has   not   been   recalled   and   if that   remain   on   record,   the   authorities   are   under   obligation   to charge   interest   in   terms   of   the   orders   dated   10 th   July,   2020,   of which   reference   has   not   been   made   in   the   order   dated   7 th November, 2022.    16. Learned counsel further submits that by notification dated 9 th June,   2020,   the   State   of   U.P.   has   made   applicable   the   rate   of interest   to   be   charged   from   various   builders/project   proponents and that was brought to the notice of the Court after the first order 13 came   to   be   passed   dated   10 th   June,   2020   and   the   Court   took cognizance   of   the   notification   dated   9 th   June,   2020   in   its subsequent   orders   dated           10 th   July,   2020   and   thereafter.     It   is also  their  objection  that  if the  projects  run  by  the  Amrapali Group of   Companies   are   entitled   for   certain   financial   benefits,   why   it should not be extended to other group of companies ­ who also face the   same   financial   crunch   during   the   unprecedented   Covid­19 pandemic   ­   and   justification   has   been   tendered   to   this   Court   for recalling its order dated 7 th  November, 2022.    17. Further   submission   made   by   the   learned   counsel   for   the applicants   is   that   once   the   orders   have   been   passed   after   hearing the   parties   on   perusal   of   available   records,   at   least,   miscellaneous application   filed   for   recalling   of   such   orders   was   not   valid   and justified   under   the   guise   of   miscellaneous   application   filed   at   the instance   of   Noida/Greater   Noida   authorities   unless   there   is   a manifest apparent error or mistake being traced out in the orders of which   reference   has   been   made   in   the   order   dated   7 th   November, 2022, recalling of such orders was ordinarily not permissible under 14 the law and in support thereof reliance has been placed on various judgments of this Court. 18. Per contra, learned counsel for  the respondents appearing  for the   Noida/Greater   Noida   authorities   submits   that   the   order   dated 10 th  June, 2020, was the foundational order.  At that stage the only application   filed,   of   which   this   Court   took   cognizance,   was   of   the Ace   Group   of   Companies   and   to   be   more   specific   I.A.   No.4139   of 2020 (Ace Group of  Companies) and  no  such  application  has been filed   by   Ace   Group   of   Companies   for   recall   of   the   order   dated   7 th November, 2022.  19. Learned   counsel   further   submits   that   so   far   as   the   Prateek Group   of   Companies   is   concerned,   the   statement   which   has   come on record and noticed by this Court in its order dated 7 th  November, 2022 is indeed alarming  that  all  its projects were  completed much before the cognizance was taken by this Court and it was unable to pay the demand as raised by the Noida/Greater Noida authorities in terms   of   the   conditions   of   the   lease   deed   executed   with   open   eyes between   the   parties.     It   also   moved   an   IA   before   this   Court   which was   not   even   remotely   concerned   with   the   cause   of   which   judicial 15 notice was taken by this Court with an object to secure interests of the homebuyers of Amrapali Group of Companies.  20. Learned   counsel   further   submits   that   so   far   as   IAs   filed   by CREDAI   and   NAREDCO   and   other   developers   are   concerned,   they have   not   filed   any   IA   upto   the   passing   of   the   order   dated   7 th November, 2022 and so far as the other IAs are concerned, all came into the pool after order of 25 th   August, 2020 came to be passed by this   Court   ­   at   a   later   stage   ­   and   admittedly   either   of   the promoters/builders   was   not   even   remotely   concerned,   directly   or indirectly,   in   reference   to   the   projects   of   Amrapali   Group   of Companies of which judicial cognizance was taken by this Court.  21. Learned   counsel   further   submits   that   once   this   Court   ­   after hearing the parties ­ arrived at the conclusion that the three orders i.e.   10 th   June,   2020,   19 th   August,   2020,   and   25 th   August,   2020   of which   a   detailed   reference   has   been   made   under   order   dated   7 th November, 2022 deserve to be recalled, the present group of I.As are not maintainable and deserves to be rejected.   16 22. We   have   heard   learned   counsel   for   the   parties   at   length   and with their assistance perused the material available on record. 23. The undisputed facts which have come on record are that the initiation   of   proceedings   in   the   first   instance   in   Bikram   Chatterji (supra) was only confined to consider how to secure the interests of homebuyers of Amrapali Group  of  Companies and at  a  later  stage, interim   application   was   filed   by   the   Ace   Group   of   Companies   and later   few   other   group   of   companies   also   intervened   in   the proceedings, but admittedly either of the group of companies in no manner   was     related   to   the   functioning   of   the   Amrapali   Group   of Companies ­  of which reference has  been made in  para  156  of the judgment.   24. It   is,   however,   true   that   at   one   stage   this   Court   stepped   into the interim application filed by Ace Group of Companies and by the other group of companies as well and passed certain interim orders protecting   them   in   reference   to   revised   rate   of   interest   chargeable from   the   builders/developers   with   a   further   direction   of restructuring   of   the   payment   schedule   payable   to   Noida/Greater Noida authorities.   17 25. On an application being filed at the instance of Noida/Greater Noida   authorities,   this   Court   has   looked   into   and   revisited   the material   available   on   record   at   length   and   arrived   at   a   conclusion that   order   passed   on   10 th   June,   2020   followed   with   orders   dated 19 th   August, 2020 and 25 th   August, 2020 deserve to be recalled, of which express reference has been made in detail while passing the order dated 7 th  November, 2022. 26. We   have   examined   the   interim   applications   which   have   now been   filed   by   various   group   of   companies   for   recalling   of   the   order dated   7 th   November,   2022,   pursuant   to   which   we   consciously recalled   our   orders   dated   10 th   June,   2020,   19 th   August,   2020   and 25 th   August,   2020   and   in   the   present   facts   and   circumstances,   we find no reason/justification to recall our order dated 7 th   November, 2022.     Consequently,   the   interim   applications   are   without substance and deserve to be dismissed. 27. So far as the submission made that the order dated 10 th   July, 2020 has not been recalled is concerned, it is without substance for the   reason   that   the   order   dated   10 th   July,   2020   is   only   a clarification/modification   of   the   first   foundational   order   passed   by 18 this Court on 10 th  June, 2020 ­ which was independently passed on the   later   facts/developments   placed   on   record.     That   apart,   it   is   a mere technical objection which needs no credence.   28. The   further   submission   made   is   that   if   this   Court   arrives   at the   conclusion   that   the   orders   passed   by   this   Court   on   respective IAs   filed   at   the   instance   of   the   builders/developers   deserve   to   be recalled,   at   least   their   IAs   may   be   restored   and   heard   on   merits. The submission on the face of it appears to be attractive, but holds no   foundation   for   the   reason   that   the   IAs   were   filed   by   various group   of   companies,   including   Ace   Group   of   Companies,   but   they are not in any manner concerned with the plight of homebuyers of Amrapali   Group   of   Companies,   of   which   judicial   cognizance   was taken   by   this   Court   and   merely   filing   of   IAs   by   other   group   of companies who are stranger to the cognizance taken by  this Court in   reference   to   Amrapali   Group   of   Companies,   do   not   deserve   any indulgence at least in the instant proceedings.   29. Consequently, the IAs are dismissed.    19 ……………………………..J. (AJAY RASTOGI) ……………………………..J. (BELA M. TRIVEDI) NEW DELHI; FEBRUARY 28, 2023. 20