In a significant development, the National Company Law Tribunal (NCLT) has granted approval to the resolution plan submitted by Ace Infracity Developers for the debt-ridden 3C Homes. The decision comes after the plan received unanimous support from the Committee of Creditors (CoC) with 100% of the votes, and the NCLT recognized the lenders’ “commercial wisdom” in their decision-making process.
Earlier, the NCLT had initially denied approval due to objections raised by some of the allottees. However, the matter was subsequently challenged before the appellate tribunal NCLAT, which sent it back to the NCLT with certain directions.
Under the approved resolution plan, Ace Infracity Developers has committed to completing the development and delivering the plots to the allottees within 24 months. The plan also includes provisions to address concerns raised by the NCLT regarding dues to the Yamuna Expressway Industrial Development Authority (YEIDA) and the acquisition of land.
Crucially, the resolution plan ensures that the principal amount of the farmer’s compensation, totaling Rs 71.66 crore, will be paid in full. This payment is part of the agreed-upon amount of Rs 173.46 crore that will be paid to YEIDA.
The NCLT, in its detailed 27-page order, expressed satisfaction with the resolution plan, noting that it adequately addresses all the objections raised regarding dues to YEIDA and land acquisition. This approval brings hope to the allottees who have been eagerly awaiting the completion of the Lotus City project.
As part of the resolution plan, the allottees will gain possession of 512 residential plots from the Lotus City project, with an estimated value of Rs 211 crore once they are fully developed. This development marks a significant step forward for the allottees, as they can finally see a glimmer of hope in their long-standing wait for the completion of their dream homes.
The NCLT’s approval of Ace Infracity Developers’ resolution plan for 3C Homes signifies a positive outcome for all stakeholders involved. It reinforces the faith in the insolvency resolution process and brings renewed optimism to the real estate sector, showcasing that debt-ridden projects can find viable solutions that benefit both the lenders and the allottees alike.
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