The Kerala High Court has constituted a core committee to implement an apartment complex project in Ernakulam as per a settlement scheme suggested by the court.
Former judge of the Kerala High Court Justice P S Gopinathan will be the committee chairman.
Justice V Chitambaresh, in his verdict, pointed out that a conjoint effort to complete a half-constructed multi-storied apartment complex in the heart of Ernakulam city would meet opposition from a few disgruntled. The case concerns the closure of three companies that had collected money from the public during 2002-05 in the name of ‘Business India Group’ and failed to repay the amount with interest.
After verification, the court found that the only company which had assets was Business India Builders and its main asset was 197 cents of land. Several depositors in the Business India Group had by then instituted many civil and criminal proceedings and even obtained orders of attachment for the 197 cents of land, but it did not materialise and the litigation continued regarding the project. Later, company representatives and the depositors reached at a compromise scheme.
The court observed that the sanctioning of the scheme would result in the creditors of the ‘Business India Group’ get repayment. The apartment complex will be constructed by a Gujarat-based firm and 30 per cent of the built-up area will be sold and the sale profits utilised to pay off the creditors.
Every transaction of the committee shall be with the prior approval of the chairman, whose decision shall be final, subject to the right of anyone to move the company to court for any direction.
The committee shall meet periodically and make every endeavour to complete the project based on the scheme,”