The Supreme Court on Tuesday granted interim bail to Unitech Limited promoter Sanjay Chandra, who has been in jail for the last three years for allegedly siphoning off over Rs 5,000 crore from home buyers in the company’s “Wild Flower” and “Anthea” projects, PTI reported. A bench of justice DY Chandrachud and MR Shah granted Chandra bail for one month, as one of his parents is suffering from the coronavirus and has been hospitalised.
In January 2019, the top court had refused bail to Sanjay Chandra and his brother Ajay Chandra, observing that that they had not complied with its October 2017 order directing them to deposit Rs 750 crore with the court’s registry.
On January 20, the Supreme Court had accepted the Centre’s proposal to take over the management of the real estate firm, providing relief to around 12,000 home buyers. The bench gave two months to the new board that would be formed to submit a report on a resolution framework. The top court added it would appoint one of its former judges to monitor the preparation of the framework.
Unitech’s two managing directors – Sanjay Chandra and Ajay Chandra –
were arrested in April 2017 for allegedly cheating buyers and siphoning off clients’ money to foreign accounts. The realty firm failed to complete housing projects in Greater Noida and Gurugram in the National Capital Region, and did not refund the money to buyers along with interest. It had promised to hand over possession of the flats in 2012.
In December 2017, the National Company Law Tribunal had issued interim directions suspending Unitech’s directors. It also banned them from selling assets or raising loans on personal and company assets till the conclusion of the investigation into the firm.