by THO
In an interim relief, the Supreme Court has stayed coercive action against developer Lotus Greens in connection with the Sports City Project SC-02 in Noida’s Sector 150. The order was issued in response to a plea by Lotus Green Constructions challenging an earlier ruling by the Allahabad high court.
A bench of justices MM Sundresh and Rajesh Bindal, in its order, stated, “Permission to file a Special Leave Petition is granted… Issue Notice. In the meantime, the proceedings shall go on, but no coercive steps shall be taken.”
The Allahabad high court had last month ordered a CBI probe into an alleged nexus between builders and Noida Authority officials, citing multiple violations in the scheme’s implementation. Despite the withdrawal of writ petitions by Lotus Greens, the HC, on February 24, 2025, had directed the CBI to file a complaint against all officials and builders allegedly involved in irregularities related to the Sports City project. The court had further instructed the Noida authority to serve notices to all stakeholders within a week, demanding full payment of outstanding dues, including interest and penalties.
Following the HC’s order, the Noida authority issued a press release last week asking realtors to clear their dues within a month. The outstanding dues on the project currently stand at approximately ₹2,700 crore, including interest and penalties.
A spokesperson for Lotus Greens expressed hope that the Supreme Court’s intervention would pave the way for resolving the ongoing crisis. “We will comply with the SC order and hope that in view of the homebuyers’ plight, the UP government and the Noida Authority will address the issues, paving the way for a solution to the Sports City issues, which delay the delivery of the units to the homebuyers,” the spokesperson added.
The Sports City scheme for SC-02 in Sector 150 was launched in June 2014, covering 12 lakh sqm. The project was designed with 70% land allocation for sports facilities and open areas and 30% for group housing and commercial purposes. Lotus Greens, leading a consortium of developers, received the allotment in September 2014 through a technical and financial bid process.
Due to land unavailability, the Noida Authority granted a “Zero Period” to the developer until September 30, 2016. The project master plan was later approved in January 2017. However, development was disrupted when the Noida authority imposed restrictions on Sports City projects in its 201st Board Meeting on January 18, 2021. The move affected approximately 10,000 homebuyers who had invested in the project, causing significant delays.
The Public Accounts Committee (PAC) of the Uttar Pradesh legislative assembly, meanwhile, which had reviewed the Comptroller and Auditor General’s (CAG) 2020 objections, had directed Noida Authority to remove restrictions on the Sports City project and approve Lotus Greens’ revised master layout plan. Additionally, the state government had informed the Allahabad high court that an inquiry into the Sports City projects was underway.
Despite these developments, the Noida authority has not provided occupancy certificates (OC) for the housing projects within Sports City. Noida authority CEO Lokesh M declined to comment, stating that officials would review the certified Supreme Court order before making any statements.
