NEW DELHI: The National Company Law Appellate Tribunal (NCLAT) has authorized the start of insolvency proceedings against Supertech Realtors, the developer behind the Supernova project, which consists of residential apartments, offices, retail spaces, and a luxury hotel.
The Insolvency and Bankruptcy Appellate Tribunal upheld a previous order from the Delhi bench of the National Company Law Tribunal (NCLT) that, on June 12, 2024, initiated the Corporate Insolvency Resolution Process (CIRP) in response to a petition from the Bank of Maharashtra, citing defaults.
A two-member NCLAT panel noted that the revised settlement proposal from Ram Kishore Arora, the promoter, had not won approval from the Consortium of Banks. “We believe this case requires the Corporate Debtor’s (Supertech Realtors) resolution per the I&B Code and CIRP Regulations, 2016. Therefore, we uphold the NCLT’s order admitting the Section 7 application and dismissing the appeal,” the NCLAT stated.
The appellate tribunal also permitted the interim resolution professional appointed by NCLT to form the Committee of Creditors (CoC) and proceed with the CIRP as per legal guidelines.
Supertech Realtors, a subsidiary of realty firm Supertech, is also undergoing insolvency proceedings alongside several affiliated companies. The Supernova project is being developed at a cost of Rs 2,326.14 crore on a 70,002 square metre site in Sector 94, Noida. The completed project will include 80 floors, making it the tallest building in Delhi-NCR at a height of 300 metres.
Previously, on July 3, 2024, the NCLAT had temporarily halted the formation of the CoC based on Arora’s request, who hadn’t raised any disputes.
In relation to the debt owed to the Bank of Maharashtra, the firm, with assistance from investor M/s Kotak Advisors, proposed a settlement of 75% of the outstanding balance, which was declined by the lending consortium.
Meanwhile, the NCLAT has been extending its interim order to stay the CoC formation. Arora contended that 80% of the project was completed and potential investors were ready to contribute funds for its completion.
Ultimately, the banks also dismissed a revised one-time settlement (OTS) proposal from Arora, who partnered with Parmesh Construction Company as a co-developer, prompting NCLAT to proceed with the proceedings.
The appellate tribunal denied Arora’s request to contest the Financial Creditor’s decision to reject the OTS proposal. “We believe the reasons for the banks’ refusal of the OTS proposal are not subject to examination in these proceedings. This is not a situation where an application filed under Section 12A for CIRP withdrawal has not been approved by the CoC with a 90% vote share, which could be judicially reviewed on limited grounds,” stated the NCLAT in a detailed 32-page order.
The Bank of Maharashtra reported that dues from all consortium banks exceed Rs 990 crore. During a joint meeting of lenders on June 13, 2025, all aspects were considered, leading to the decision against the OTS acceptance.
Arora claimed he was not informed about the rejection of the OTS proposal; however, the banks responded that the consortium’s decision was communicated by Union Bank of India, its lead bank, on July 15, 2025, with documentation provided to NCLAT.
For the Supernova project, Supertech Realtors sought financial aid from a consortium of lenders led by Union Bank of India amounting to Rs 735.58 crore, including a credit facility of Rs 150 crore from Bank of Maharashtra, granted in December 2012 with a repayment plan of quarterly installments spanning 10 years and 4 months, maturing by March 2023.
Nevertheless, Supertech Realtors failed to maintain financial discipline and defaulted on account management, leading to significant accumulated outstanding debts.
