The Supreme Court has issued notices to the Centre and others on a petition seeking a direction to frame a structured debt-relief scheme for the homebuyers of stalled housing projects, ensuring stage-linked disbursal compliance.
The petitioner has sought a scheme to the effect that if flats under the subvention plan were not delivered to homebuyers, both the lender banks and the builder should suffer equal loss of the disbursed loan amount.
The notices were issued on Monday by a Bench led by Chief Justice Surya Kant which has been dealing with petitions filed by homebuyers — who booked flats under subvention schemes in various housing projects in Noida, Greater Noida and Gurugram – and were allegedly forced by banks to pay EMIs despite not getting possession of flats.
The Bench ordered that no coercive action should be taken against the petitioner in the meantime.
Under the subvention scheme, banks disburse the sanctioned amount directly to the accounts of builders, who are then required to pay EMIs on the sanctioned loan amount until flats are handed over to homebuyers. After builders started defaulting on EMIs to banks, the banks seek EMIs from homebuyers on the basis of the tripartite agreement.
The petitioner homebuyer alleged that he did not get possession of the flat booked by him and was forced to pay the EMIs. His counsel alleged that banks and other financial institutions were not following the subvention scheme.
The top court had in July 2025 allowed the CBI to register 22 cases over alleged unholy nexus between the banks and developers to dupe homebuyers in the National Capital Region (NCR).
In September 205, it had allowed the CBI to register six more cases to probe into the alleged unholy nexus between banks and builders to dupe homebuyers in real estate projects in Mumbai, Bengaluru, Kolkata, Mohali and Prayagraj.
