HC asks Noida for registry in Sports City housing project, orders probe against realtors

NOIDA: The Allahabad high court on Monday directed the Noida authority to execute the registry of apartments in the name of home-buyers in the ready housing projects within two weeks from the date of its order. It, however, also ordered the CBI and Enforcement Directorate (ED) probe against the concerned officials involved in Noida’s Sports City housing project.

The order came in response to a 2019 plea by a realty firm – Gaursons Group – that requested for issuance of occupancy certificate, and permission for execution of the registry to transfer the title of the property in the name of home-buyers.

“Once the proportionate sports facilities are developed or the proportionate value of the Sports facility is fixed and the petitioner pays the same (to the Noida authority), or develop the Sports facilities, the Noida authority will immediately grant occupancy certificate to the three towers already built by the petitioner expeditiously, preferably within two weeks, thereafter, subject to petitioner completing all the formalities and getting all the NOCs,” said the order delivered by a bench of justice Prashant Kumar and justice Mahesh Chandra Tripathi on Monday.

“The Noida authority is directed to execute tripartite deed with the home-buyers. With the direction aforesaid, the writ petitions stands disposed off….,” it added.

The dispute centres on the Sports City group housing scheme, which required realtors to develop world-class sports infrastructure on 70% of the allotted land. Instead, developers prioritised residential projects, leading the Noida authority to ban registries, map approvals, and occupancy certificates in January 2021.

The ban impacts housing projects in Sectors 78, 79, 150, and other areas, affecting around 30,000 apartment owners.

Many apartment owners and other realtors have also filed separate petitions before the high court in the matter, seeking remedies.

Meanwhile, the Noida authority chief executive officer Lokesh M said, “We are arranging the certified copies of the high court orders so that we can comply as per the law.”

According to the petition of Gaursons Group, the Noida authority allotted 727,500 square metres (sqms) of land under the Sports City scheme to Xanadu Realcon Pvt. Ltd on March 28, 2011. Of this, 80,000 sqms were handed over on November 11, 2011, and later sub-divided among associated companies. The Gaur Sportswood Private Limited developed 800 apartments on 40,000 square metres of this land, promising registries to homebuyers.

During the hearing, developers argued that inadequate land allotments by the authority hindered Sports facility development.

The Noida authority, however, cited violations of project norms, including revenue loss and non-compliance with the 70% land use condition.

Separately, the high court also ordered a CBI and ED inquiry into the Noida Sports City scam, directing investigations against builders, consortium members, and Noida authority officials for allegedly siphoning off homebuyers’ money.

It has asked the CBI to initiate an inquiry against all those involved, including Noida authority officials, developers, and any other individuals linked to the scam.

The division bench of Justices Mahesh Chandra Tripathi and Prashant Kumar delivered 10 separate judgments covering three out of four Sports City projects in Noida, holding both lead developers and consortium partners accountable.