Amrapali Centurian Park home buyers challenge insolvency proceedings against Silicon City in SC
Home buyers of Amrapali’s Centurian Park project in Greater Noida on Wednesday moved the Supreme Court challenging the insolvency proceedings against Amrapali Silicon Valley, claiming the proceeding has direct bearing on their project as well.
Around 70 home buyers argued since Amrapali Silicon City owns 98.84% share in Amrapali Centurian Park, the resolution process triggered in respect of Amrapali Silicon City cannot be viewed in isolation and divorced from Amrapali Centurian Park, informed lawyer ML Lahoty who has filed the plea on behalf of homebuyers.
They have challenged the Sections 14, 33, 53 and 238 of the Insolvency and Bankruptcy Code, 2016. The home buyers have asked the apex court to safeguard the interest of home buyers and treat the money paid by the home buyers on an equal footing with the financial creditors. They have also asked the apex court to declare them as a ‘secured creditor’ under the Code so that they could be among the first claimants to proceeds from the sale of the company’s assets in case of insolvency.
Home buyers have asked the Supreme Court to quash the NCLT order passed on September 4, and allow all court proceedings against Amrapali and its directors to be reinitiated.