Supreme Court Constitutes One‑Judge Committee to Resolve Long‑Running Greater Noida Housing Dispute and Stalled Project

A Bench of Justices Vikram Nath and Sandeep Mehta heard special leave petitions challenging the Allahabad High Court’s order of 17 May 2016 in Writ‑C No. 22576 of 2016, concerning claims of allottees in a stalled Greater Noida group housing project and the cancelled GNIDA lease. The petitions raised questions on restoration of the lease, identification of genuine allottees, recovery of dues and the liability of banks and developers in the alleged fraud surrounding the “Shiv Kala Charms” project.

The Court allowed the matter to proceed by appointing an independent one‑Judge Committee to undertake a detailed fact‑finding exercise and recommend a practicable resolution. The Court recorded that “this unsavoury state of affairs cannot be allowed to continue indefinitely” and emphasised the need for an impartial mechanism to verify claims and coordinate among GNIDA, the Housing Commissioner and banks. The Court, in its reasoning, observed: The Court nominated Hon’ble Justice Pankaj Naqvi (Retd.) to head the Committee, fixed broad terms of reference, required a sealed report within four months, and directed cooperation from GNIDA, the State and financial institutions. The Court also recorded that “the original allotees… have endured immense hardship” and directed limited interim measures, including verification by the Housing Commissioner and structural audit steps already taken.

Background The dispute arose from a group housing scheme by Golf Course Sahkari Awas Samiti (registered 2004) and developer M/s Shiv Kala Developers Pvt. Ltd., on Plot No.7, Sector PI‑2, Greater Noida. GNIDA executed a lease in 2005; homebuyers paid for flats and obtained bank loans through tripartite disbursements to the Samiti. GNIDA cancelled the lease on 9 September 2011 for non‑payment of dues. Complaints by allottees led to a District Magistrate inquiry (2012) that reported misappropriation, multiple allotments of the same flat, fictitious flats and recommended criminal and regulatory action. An FIR and subsequent chargesheet followed; GNIDA and the Housing Commissioner initiated inquiries and appointed administrators.

The Allahabad High Court in May 2016 declined substantive relief, granted petitioners liberty to approach the Housing Commissioner and to file civil suits, and observed that investigations by the Economic Offences Wing and banks were ongoing. On appeal, the Supreme Court directed verification of claimants by the Housing Commissioner, commissioned structural audits (including a report that Tower‑1 could be made habitable after strengthening), and permitted groups of verified allottees to seek partial revival and completion of towers subject to payment of proportional dues and restoration of lease rights. GNIDA repeatedly failed to furnish a workable plan for proportional dues and partial restoration, prompting the Court to conclude that a comprehensive, independent enquiry was necessary.

The Court therefore constituted a one‑Judge Committee (headed by Justice Pankaj Naqvi, Retd.) with terms to identify genuine allottees, assess feasibility of partial lease restoration, devise a formula for proportional liabilities, prepare a time‑bound development plan and, if necessary, recommend transparent mechanisms (including auction) for unresolved towers. The Committee was to submit a sealed report within four months; its expenses and inquiry costs were to be borne equally by the State of Uttar Pradesh and the allottees, and the State and GNIDA were directed to publish public notice inviting remaining allottees to file claims for verification.

Case Details: Case No.: 2025 INSC 1291 (Special Leave Petition (Civil) Nos. 9792 of 2017 and 15548 of 2017) Case Title: Ravi Prakash Srivastava & Ors. v. State of Uttar Pradesh & Ors. Appearances: For the Petitioner(s): Meenakshi Arora, Senior Advocate; other counsel for petitioners as noted in the record. For the Respondent(s): Ravindra Kumar, Senior Advocate (for GNIDA); Abhishek Kumar Singh, Advocate‑on‑Record (for Housing Commissioner/UP Awas Evam Vikas Parishad); counsels for banks and India Bulls Housing Finance Ltd. (as recorded).