SC directs forensic audit of Unitech’s projects

Unitech in October last year told the court that it would like to monetize its unencumbered properties and other assets to recover money that would be used for the process of refunding buyers and completing projects that are stuck. Photo: HT

Unitech in October last year told the court that it would like to monetize its unencumbered properties and other assets to recover money that would be used for the process of refunding buyers and completing projects that are stuck. Photo: HT

New Delhi: The Supreme Court on Friday called for a forensic audit of 74 housing projects of Unitech Ltd that are in various stages of construction.

The audit would be carried out by Grant Thornton and the time period of the audit will be from 2006 onward.

A bench headed by Justice D.Y. Chandrachud also asked the financial auditor to place before it the draft terms of audit and decide the time frame within which such an audit will be completed before the next date of hearing.

For carrying out the audit, the financial auditor will be at liberty to obtain details such as permanent account number (PAN) from the directors and their family members. The forensic auditor was also requested to personally appear before the court on the next date of hearing.

Unitech’s director Sanjay Chandra, who is in jail in a case of alleged forgery lodged by buyers of a Unitech housing project in Gurugram, was denied bail and the court made it clear there would be no bail for him until the completion of the audit.

The top court in August directed a panel headed by former Delhi high court judge, Justice S. N. Dhingra to proceed with the sale of unencumbered assets of the directors of the beleaguered real estate major in order to refund money to home buyers.

In July, the apex court permitted the auction of three properties belonging to Unitech in Agra, Varanasi and Sriperumbudur to reimburse the claims of those who had booked homes with the troubled real estate developer.

Unitech in October last year told the court that it would like to monetize its unencumbered properties and other assets to recover money that would be used for the process of refunding buyers and completing projects that are stuck. A list of unencumbered properties and assets was submitted to the court in a sealed cover.

The court also ordered the setting up of a website for those who have invested in Unitech’s projects.

First Published: Fri, Dec 07 2018. 07 10 PM IST

Source: Livemint