SC gives Noida authority to respond to Sports City proposals; provisional injunction granted to several builders

SC gives Noida authority to respond to Sports City proposals; provisional injunction granted to several builders

NEW DELHI: The Supreme Court of India (SC) has directed developers involved in the Noida Sports City case to submit revised proposals to the Noida authority within two weeks, with the authority to take appropriate action within four weeks thereafter. The order came while hearing multiple special leave petitions (SLPs) relating to redevelopment, dues, occupancy certificates and enforcement issues relating to plot SC-02, sector 150 and other linked plots in the Sports City scheme.The order, which was issued by Justice MM Sundresh and Justice Satish Chandra Sharma on November 24, 2025, outlines a detailed roadmap for payment of dues, revision of master plans and eventual transfer of possession to home buyers. The court also heard separate batches of petitions on approval of revised master plans, grant of OCs/CCs, monitoring of CBI investigation and possession and recovery disputes, and issued tailor-made directions in each category.

SC records Noida authority’s 16-point resolution for lifting ban and revised payment structureDuring the hearing, the Advocate General tabled a detailed 16-point resolution from the authority setting out the conditions for lifting the development ban imposed in January 2021. The authority stated that it would lift the ban after approval by the board and consider the petitioner’s proposal to pay 20% of the outstanding dues within two months of approval of the revised master plan, while the remaining 80% would be payable over six half-yearly installments over three years.

The resolution also establishes timelines for the submission and approval of revised master plans and construction plans, payment requirements, and provides that the authority will retain the first charge and place a lien on more than 20% of the units in each tower until all dues are paid and construction is completed. These units can be sold by the authority if the developer defaults on payments. Occupancy Certificates (OC) will be granted only after payment of 100% of outstanding dues and completion of construction as per the revised plan.

The ban imposed during the 201st board meeting on January 18, 2021 will be lifted upon approval of the authority’s board, preferably within 30 to 45 days. The revised master plan must be submitted to the authority within 30 days of the SC order. The court also clarified that developers can submit these revised proposals “without prejudice to” the rights and claims already raised in pending writ petitions, so that compliance with the new framework does not dilute their legal position in previous proceedings.

Zero period exemption for developers

The top court order provided tax relief to the developers and mandated that ‘zero period’ benefits will be granted for the period of the Covid-19 pandemic from March 1, 2020 to March 31, 2022. Moreover, a similar zero-period benefit will apply for the duration of the ban from January 18, 2021, until the extension of the revised master plan.

Dinesh Gupta, President, CREDAI Western UP, said, “This Supreme Court verdict is a game changer for Noida and the entire real estate sector. Thousands of buyers locked in the Sports City project have finally been given clear direction and timelines. With the ban lifted and the payment model defined, work will now be accelerated. We expect to see major progress on the ground in the coming months, boosting buyer confidence. This move will provide a strong impetus to Noida’s growth in the real estate sector.”

Construction timelines and ownership

The developers have committed to complete the construction of all sports facilities within three years of the approval of the revised master plan. Residential, commercial and other units must be completed within five years. The court specifically reiterated that sports and recreational facilities are core components of the Sports City program and must be delivered in parallel with the residential and commercial components, and not treated as optional additions.

Conditional OCs

In a bid to provide immediate relief to homebuyers in specific towers, the Supreme Court has ordered that conditional occupancy certificates be issued within six weeks for towers for which applications are already pending with the authority. These certificates remain subject to the final outcome of the petitions. Developers were also made responsible for completing the sports and recreational facilities mandated under the Sports City scheme. Resulting approvals must follow Noida building regulations, followed by delivery of possession.

In one of the petitions, the court recorded the developer’s claim that all dues had already been paid and directed the authority to take a decision on possession and conditional OCs within four weeks. In another case, the court clarified that since there was no interim order in force, there was no legal impediment to the authority taking action against the concerned developer in accordance with law.Guidelines on CBI Investigations

Regarding the investigation into the project, the bank clarified that the Central Bureau of Investigation (CBI) is open to continuing the probe without making any arrests. The court further ruled that the agency may not submit a final report without the court’s permission.

Next steps

The Noida authority has been directed to take appropriate decisions on proposals and possession within four weeks. The court has fixed various dates, including January 15 and January 28, 2026, for further hearing of the various SLPs depending on their category and the issues involved. The court also clarified that this order allows developers to collaborate or collaborate for project development through joint ventures, subject to Noida policy.

Background

The lawsuit stems from Noida’s Sports City scheme in Sector 150, under which developers were allotted large plots of land to build integrated sports facilities alongside residential and commercial components. Over time, developers are said to have failed to pay fees, complete mandatory sports infrastructure or obtain approval for revised master plans and construction plans. These shortcomings have led to the imposition of a development ban in January 2021 and led to multiple SLPs involving home buyers, developers, and issues related to recovery of dues, regulatory approvals and CBI investigations. The current decision consolidates these disputes and sets out a structured path for the completion of the long-delayed project.

  • Published on Dec 5, 2025 8:24 AM IST

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