Maradu Flats Case : Supreme Court Directs Jain Housing To Deposit Rs 12.26 Crores In 4 Months; Allows Golden Kayaloram To Dispose One Property

Mr. Agarwal pointed out that it has been revealed in discussions with the builder that Jain Housing is not in a position to deposit the required amount until its other properties are released. "Let them manage the money. At best, we can allow for a provision of instalments", observed Justice Sinha. Finally, the bench amended its order to grant two months' time to Jain Housing for the deposit of the first instalment of Rs. 6.12 crores. The entire deposit of 12.26 crores is required to be made within 4 months.

The order passed in Jain Housing's case reads as follows :

In respect of M/S Vichus Constructions (Golden Kayaloram), the bench noted that the builder was required to deposit Rs. 13.37 crores initially. The court observed that Rs. 2.98 crores have come to be deposited so far.

Senior advocate Mr Kapil Sibal, for Vichus Constructions, submitted that his client is willing to submit forthwith a further amount of Rs. 3.86 crores if it is permitted to dispose of one property for which it has entered into an agreement to sell.

"At the present moment, we permit the builder to do so and allow defreezing of the bank account only for the limited purpose to allow this deposit", ordered the bench.

Mr. Sibal submitted that his client shall endeavour to make the deposit within 2-3 weeks, as against the 6-week deadline, and sought the court's permission to file an application for the de-freezing of the builder's other bank accounts on making the deposit. "Everything is frozen right now", he pleaded.

"We won't say anything on that aspect right now. Your dues will still be outstanding", remarked Justice Sinha. In a lighter vein, the judge commented, "Does a counsel need the court's permission to file an application?"

The order passed in the case of Golden Kayaloram apartment reads as :

It may be noted that following the demolition of the four apartment complexes that were built in violation of CRZ norms in Kochi's Maradu area, the Supreme Court had directed the Kerala government to file its response on action taken against other buildings that violate CRZ norms.

During the hearing on Wednesday, Justice Sinha indicated to Mr Agarwal that the Kerala state Chief Secretary was to submit an affidavit on the fixation of liability which has not been done so far. This was when Mr Sibal argued, "We might have been at fault also, but why must we be singled out?". Mr. Agarwal assured the Court that he shall follow up in this behalf.

In September last year, taking a serious note of violations to the Coastal Regulation Zone (CRZ) norms, the Supreme Court had followed up with the Kerala state government yet again, to check whether its directions have been followed in 'letter and spirit'. This was in continuance with the directives laid out after the May 8, 2019, demolition order of apartments in Kochi's Maradu. The apex court had sought a response to this effect from the chief secretary of Kerala in four weeks. The bench of Justices RF Nariman, Sinha and KM Joseph, took up the matter as a follow up of a contempt petition filed by two persons, who alleged non-compliance of the court's order of September 23, 2019. The SC had sought to understand the volume of violation of CRZ norms across Kerala.

Finally, the bench, on Wednesday, urged the counsel that their approach must be such that the intervention of the Supreme Court as at this stage is kept at the minimum- "Now, we have a claim for interest. We don't know how many more claims will come. If you continue like this, you will be before this court for 30 years. This is what we called in Hindi 'Bhanumathi ka pitaara'! If we keep this pending, we don't know where we will end up. We need to move ahead in a planned manner"