New Delhi, Jun 30 (IANS): The Supreme Court on Tuesday declined to hand over the construction of Noida-based La Residentia to the National Buildings Construction Corporation (NBCC) and allowed the construction company to continue with the development of the project.

A bench comprising Justices U.U. Lalit and Ashok Bhushan said: "It would not be just and proper to hand over the development at this stage to the NBCC as prayed for by the association and the applicants supporting the association."

In the 44-page judgment, the top court said that difference between the amounts received from the concerned flat buyers for the purchase of 632 flats, part of the La Residentia project, and the expenditure incurred on the cost of construction shall finally be credited to the general account maintained for the benefit of the flat buyers of the Amrapali Group of Companies.

The bench added that it does not deem it appropriate to recall the orders dated July 23, 2019 and October 14, 2019, or to revisit the issue whether the company could be declared to be part of the Amrapali Group of Companies.

The top court noted that unlike all the other projects of the Amrapali Group, which were handed over to the NBCC, the development with respect to the La Residentia project has always been an ongoing process.

The top court order came on a plea filed by th La Residentia Flat Buyers Association to consider the project as part of the Amrapali Group since it was initiated by the Amrapali promoters and was represented as an Amrapali project.

The La Residentia project has a total of 3,256 units, of which 1,484 flats have been fully constructed and possession of 1,143 flats has already been given to the concerned flat buyers. There are 632 units which are unsold. The La Residentia Developers Private Limited had parted ways with Amrapali in 2017.

The La Residential homebuyers had sought parity with the Heartbeat City Project, which the court had earlier ordered to be treated as part of Amrapali Group project.

The bench noted that at least 1,143 flat buyers have received possession while the construction work with respect to Phases 1 and 2 is at an advanced stage.

The bench said the interest of the Amrapali Group of Companies and consequently that of the flat buyers who had invested money in other Amrapali projects already stands quantified at 19.75 per cent via July and October 2019 orders.

"Even if there could be some similarity with regard to the status of the instant project as against the Heartbeat City project, considering the fact situation on record, that by itself would not afford sufficient reason to entertain the submissions on behalf of the association and the applicants supporting the association," said the top court.

The top court allowed La Residentia to continue with the construction of the residential flats in Noida and added that 632 flats will be allowed to be sold by the company at a fair price, provided all the concerned transactions, including the execution of appropriate documents or deeds, are counter-signed by the top court receiver or his nominee.