Supreme Court rules NOIDA cannot charge homebuyers for developer's CIRP delays
The case concerns whether time extension charges imposed by NOIDA for project delays should be treated as Corporate Insolvency Resolution Process (CIRP) costs, which would effectively penalize homebuyers and the Resolution Applicant for the original developer's default.
Appellant: The Authorised Representative for Granite Gate Properties Private Limited (representing homebuyers); Respondent: M/s New Okhla Industrial Development Authority (NOIDA) and others; Bench: Justice K. Vinod Chandran and Justice B. Pardiwala.
- Set aside the NCLAT directions that treated time extension charges as CIRP costs.
- Modify the impugned order to remove the requirement for homebuyers/SRA to pay these charges.
- Reject NOIDA's appeal seeking to include time extension charges beyond the three-year period (up to the 10th year) as CIRP costs.
- Allow Civil Appeal No. 3132 of 2026.
- Dismiss Civil Appeal No. 4207 of 2026.
- Dispose of any pending applications.
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Document details
| Official title | 'Homebuyers Can't Be Penalised For Builders' Default' : Supreme Court Rejects NOIDA's Time-Extension Charges In CIRP |
| Source body | Supreme Court of India — orders & judgments |
| Reference number | — |
| Status | closed (order) |
| Year | 2026 |
| Closing date | 2026-09-03 |
| Documents | 1 |