Supreme Court Halts Coercive Action Against Lotus Greens Over Noida Sports City Project

The Supreme Court has granted interim relief to Lotus Greens, staying coercive actions against the developer regarding the Sports City Project SC-02 in Noida’s Sector 150. This decision comes after Lotus Green Constructions appealed against an Allahabad High Court ruling that had mandated a CBI investigation into alleged misconduct involving builders and Noida Authority officials.

Justices MM Sundresh and Rajesh Bindal issued the stay, allowing Lotus Greens to file a Special Leave Petition and halting any coercive steps pending the continuation of proceedings. The Allahabad High Court, in a previous session on February 24, 2025, ordered a comprehensive probe citing multiple violations in the execution of the Sports City scheme. The High Court’s directive included instructions for the Noida authority to promptly notify all involved parties to settle their dues, which have accumulated to approximately ₹2,700 crore, including penalties and interest.

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Despite the withdrawal of writ petitions by Lotus Greens, the High Court had pressed on with its instructions to the CBI to lodge complaints against implicated officials and builders. In response, the Noida authority recently called on real estate developers involved in the project to clear their outstanding dues within a month.

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A spokesperson for Lotus Greens commented on the Supreme Court’s intervention, expressing optimism that it would facilitate a resolution beneficial to all stakeholders, especially the homebuyers suffering delays in unit deliveries. “We will comply with the SC order and hope that in view of the homebuyers’ plight, the UP government and the Noida Authority will address the issues, paving the way for a solution to the Sports City issues,” the spokesperson stated.

The Sports City project, launched in June 2014, covers 12 lakh sqm in Sector 150, with plans dedicating 70% of the land to sports facilities and open areas and 30% to group housing and commercial developments. Lotus Greens secured the project through a technical and financial bid in September 2014. After an initial “Zero Period” due to land unavailability, which lasted until September 30, 2016, the project’s master plan received approval in January 2017.

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However, the project faced significant hurdles when the Noida authority imposed restrictions during its 201st Board Meeting in January 2021, affecting around 10,000 homebuyers. Despite a directive from the Public Accounts Committee (PAC) of the Uttar Pradesh legislative assembly to lift these restrictions and approve Lotus Greens’ revised master layout plan, the ongoing issues have led to substantial delays, leaving many homebuyers in limbo.

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