Legal Advice

Liquidator appointed by High Court in Shubhkamna Epic Apartment

Query

Approx 150 or more buyers have applied for flats in 2013 -14 in Shubhkamna epic, sector 12, Greater Noida. Builder just erected initial base of project and absconded. We approached NCDRC. The Consumer court ordered refund of amount with interest in 2018. Amt not refunded. So Execution petition filed in 2019. Since then NCDRC postpones hearings due to Corona pandemic. In the meantime, Jafna another company to whom Subhkamna builder owes 11 crore, filed case in HC, Delhi. HC appointed liquidator. Liquidator advertised in newspaper. We are sending form 66 to liquidator. Now what should I do? Is it Beneficial of approach NCLT? Is it beneficial to approach the Supreme court? What will be the fate/ future of the NCDRC Order? Shall we put up form 66 to liquidator for extension i f date 7.5.2021?

Advice

When the High Court has appointed a liquidator then you cannot approach another forum for the returning of amount. If the liquidator is not performing his duty or neglecting to initiate procedure for attachment of property then you can approach the High Court for the direction. 

The High Court will direct the liquidator to do something or refrain from doing something which the court finds fit in the circumstances of the case. If you have any other grievance which the liquidator has no jurisdiction to deal with then you can approach the High Court. At this stage of proceeding you cannot move any petition to the Supreme Court. When a proper remedial proceeding is pending you cannot approach the Supreme Court.

Expedite petition

You should file an expedite petition before the High Court if the liquidator is taking too much time to accomplish his job. The liquidator will verify your claim,  take into his custody or control all the assets of the builder. He shall evaluate the assets & property of the builder and take such measures to protect and preserve them. After verification of all claims the liquidator shall sell the immovable and movable property and actionable claims of the builder. If the liquidator does not do his job properly then you can approach the High Court to direct him to accomplish his job expeditiously.

Shivendra Pratap Singh

Advocate

High Court Lucknow

Property | RERA

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