Authority: Supreme Court of India

Order Date: 12-08-2026

Case Overview

  • Parties: Appellant – RG Luxury Homebuyers Association (Regd.) and others; Respondent – Rajesh Goyal and others.
  • Nature of proceedings: Civil Appeal No. 6923/2021 concerning alleged non‑possession, fund diversion, and incomplete project amenities in a residential development.
  • Key allegations (as per additional affidavit filed by homebuyers):

1. Despite a Court direction dated 19‑09‑2025 to hand over units within 60 days, the respondent has not delivered physical possession of flats to numerous buyers who paid the full amount a year earlier (list annexed as Annexure ‘A’).

2. The respondent is accused of diverting funds to launch a new project; details are provided in paragraph 3 of the affidavit.

3. The podium promised at project launch remains incomplete and lacks connectivity to Tower ‘H’ (paragraph 4).

4. Lifts are poorly maintained; only two lifts are operational in Towers ‘G’ and ‘H’ (paragraph 5).

5. Of the two generator sets installed, only one is functional (paragraph 5).

6. The respondent collected Rs 2.5 crore from buyers for Club House amenities, which remain non‑functional to date (paragraph 6).

7. Due to the respondent’s default in completing the project and handing over possession, buyers claim entitlement to delay compensation (paragraph 7).

Court Directions / Orders

1. The respondent must file a comprehensive affidavit disclosing:

  • Whether possession of completed units for which payments have been received has been provided to each buyer listed in Annexure A; if not, reasons for the delay and justification for delay compensation.
  • Whether the podium has been completed as promised; if not, reasons for its non‑completion.

2. The matter, along with all connected matters including contempt petitions, is to be listed on 02‑09‑2026; the respondent must file the required affidavit by that date.

3. Greater Noida is directed to file an affidavit disclosing the amounts and heads under which it has raised demands on the project proponent, also by the next date.

4. Permission to file a Contempt Petition is granted (Diary No. 48524/2025).

5. The Court condones the delay in filing the present applications.

6. The petitioner’s counsel may file spare copies of the affidavit within 72 hours; upon filing, a notice will be issued, returnable on 02‑09‑2026.

7. Personal appearance of the alleged contemnor(s) is not required at this stage, provided they are represented by counsel.

Final Outcome

  • The respondent Rajesh Goyal is compelled to submit a detailed affidavit addressing possession, podium completion, and related deficiencies.
  • Greater Noida must also submit an affidavit on its monetary demands.
  • The Court has authorized the filing of a contempt petition, condoned procedural delay, and scheduled the next hearing for 02‑09‑2026, with notice issuance contingent on filing spare copies.

Topics: Homebuyers‑Developer Dispute, Possession Delay, Contempt Proceedings