Allahabad High Court Seeks Action Plan as Ajnara Homes Buyers Struggle to Register Flats
The Allahabad High Court has asked the Uttar Pradesh government, Greater Noida Authority and UP-RERA to explain their action over pending flat registrations at Ajnara Homes.
- Homebuyers who paid in full are still awaiting registration of some flats at Ajnara Homes, Greater Noida West.
- GNIDA cited outstanding builder dues of ₹84 crore, including GST and penal interest.
- Around 2,200 flats were handed over in 2018, but registrations for only 1,592 units have been completed.
Greater Noida: The Allahabad High Court has sought a coordinated action plan from the Uttar Pradesh government, the Greater Noida Industrial Development Authority (GNIDA) and the Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) over the delay in registering flats at Ajnara Homes in Greater Noida West.
In an order dated October 7, the court questioned why homebuyers who had paid the full purchase price and taken possession were unable to secure registered ownership because of outstanding dues owed by the developer to government authorities.
The case was brought by a group of 20 residents who approached the High Court in April, arguing that they had fulfilled their payment obligations but were still unable to complete the registration process. One of the petitioners, Shyam Sagar Meher, said the lack of registered ownership also created difficulties for residents who wanted to sell their properties, with the developer reportedly demanding high transfer charges in cases where sales proceeded.
During the proceedings, GNIDA informed the court that registrations had been withheld because APV Realty Limited, the developer associated with the project, had not cleared its outstanding dues. The original amount was reportedly ₹60 crore, which increased to ₹84 crore after the addition of GST and penal interest.
The dispute arises from the land-lease system followed for group housing projects in Noida and Greater Noida. Under this arrangement, the authority leases land to a developer, and the buyer’s ownership is formalised through a sub-lease deed involving the buyer, the developer and the relevant authority.
When a developer fails to pay the required premium, lease rent, extension charges or other dues, the authority may hold back registrations. As a result, buyers who have already paid for their homes and taken possession can remain without completed property registration.
A division bench comprising Justices Siddhartha Varma and Ram Manohar Narayan Mishra described the situation as unusual, observing that the developer had sold flats to buyers without clearing its financial obligations to GNIDA.
The court noted that the situation affected not only the buyers’ legal rights but also the state’s ability to collect stamp duty on registered lease deeds. It directed the authorities to place details of the action taken against the developer on record.
The bench asked Ambarish Shukla, the additional chief standing counsel appearing for GNIDA, to obtain specific instructions from the principal secretary for urban planning regarding the steps taken by the state government. The court also sought details of any action initiated by UP-RERA.
The dispute highlights a wider concern for property buyers in Noida and Greater Noida, where the registration of flats can remain pending because of developers’ unpaid dues to land authorities.
Possession of approximately 2,200 flats at Ajnara Homes was handed over in 2018. However, only 1,592 registrations had been completed, leaving a substantial number of units awaiting formal registration, according to the information reported in the case.
Advocate and homebuyer Satveer Dalal told The Times of India that similar problems affect buyers across the region. He cited recommendations by a rehabilitation committee headed by Amitabh Kant to separate the registration of homebuyers’ properties from the recovery of outstanding dues from developers. Homebuyer groups estimate that around 75,000 flats across Noida and Greater Noida may be affected by registration-related issues of this kind.
For buyers, the consequences can extend beyond paperwork. Pending registration may complicate resale transactions, create uncertainty over legal ownership and expose residents to additional transfer-related costs.
The next step is for the Uttar Pradesh government, GNIDA and UP-RERA to present details of the measures taken against the developer and explain how the registration issue can be addressed. The court’s directions place the focus on both recovering public dues and protecting the legal rights of homebuyers who have already paid for their properties.
The developer had not responded to The Times of India’s queries at the time of its report. An employee who spoke anonymously said the company did not have the funds to pay GNIDA.
Any resolution will depend on the authorities’ response and the further proceedings in court. Until a formal solution is implemented, affected buyers may continue to face uncertainty over the registration and resale of their homes.
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