ET BureauMUMBAI: A single-judge bench of the Bombay High Court has given the go ahead on a petition filed by Tata Capital to wind up Hiranandani Palace Gardens, a unit of Niranjan Hiranandani's real-estate empire that was accused of defaulting on a loan by the lender.
The developer has challenged the recent ruling before a division bench of the same court, which has scheduled the matter for hearing on March 31.
Tata Capital had approached the court in Rs 76-crore loan it claimed it 2013 to recover a gave the developer. In his order, Justice SJ Kathawala said “the official liquidator shall adjudicate the claim of the petitioner within a period of six months from the date of receipt of claim from the petitioner“.
Vikram Trivedi, managing partner of Tata Capital's law firm Manilal Kher Ambalal & Co, confirmed the matter, but didn't comment further. Niranjan Hiranandani declined to comment. Hiranandani Palace's legal representative, Vivek Vashi of Bharucha & Partners, said the matter was sub judice and refused to say anything more.
Hiranandani Palace has two township projects, in Chennai and Panvel near Mumbai. The company was originally promoted by the Hiranandani group, before it became a unit of UK-listed Hirco.
Both projects were auctioned last year to recover arrears following a legal battle between lenders and Hirco. Niranjan Hiranandani-led Hiranandani Constructions took over these projects again after emerging as the highest bidder.
Just weeks before the recent order, the same court passed another liquidation ruling against the developer. In that case, Outdoor Advertising Professionals (India) had accused the company of not pay Rs 3.3 lakh it owed.
According to informed sources, both cases are now likely to be settled out of the court. However, it could not be ascer tained whether the parties involved have already initiated the discussions.
According to Tata Capital's petition, the developer had defaulted on loan obligations from December 2012 and was liable to pay Rs 82.6 crore, including interest. It said Hiranandani Palace had applied for a Rs 100-crore term loan, which was sanctioned in July 2011. Tata Capital had disbursed Rs 76 crore, according to the petition.
Tata Capital claimed Hiranandani Palace was under financial stress and was unable to meet liabilities. It alleged the com pany misrepresented facts while taking the term loan. In October 2013, following Tata Capital's petition, the court had asked Hiranandani Palace to disclose details of all its assets.
Hiranandani Constructions is currently working on revamping and relaunching the two townships. The Panvel project, spread over 558 acres, will be renamed Hiranandani Hills, while the nearly 200-acre project in Chennai will be known as Hira nandani Parks. These projects will come under Hiranandani Communities.
Development of the projects was stalled for over two years in the backdrop of a tussle between Hirco and Hiranandani.
The developer has challenged the recent ruling before a division bench of the same court, which has scheduled the matter for hearing on March 31.
Tata Capital had approached the court in Rs 76-crore loan it claimed it 2013 to recover a gave the developer. In his order, Justice SJ Kathawala said “the official liquidator shall adjudicate the claim of the petitioner within a period of six months from the date of receipt of claim from the petitioner“.
Vikram Trivedi, managing partner of Tata Capital's law firm Manilal Kher Ambalal & Co, confirmed the matter, but didn't comment further. Niranjan Hiranandani declined to comment. Hiranandani Palace's legal representative, Vivek Vashi of Bharucha & Partners, said the matter was sub judice and refused to say anything more.
Hiranandani Palace has two township projects, in Chennai and Panvel near Mumbai. The company was originally promoted by the Hiranandani group, before it became a unit of UK-listed Hirco.
Both projects were auctioned last year to recover arrears following a legal battle between lenders and Hirco. Niranjan Hiranandani-led Hiranandani Constructions took over these projects again after emerging as the highest bidder.
Just weeks before the recent order, the same court passed another liquidation ruling against the developer. In that case, Outdoor Advertising Professionals (India) had accused the company of not pay Rs 3.3 lakh it owed.
According to informed sources, both cases are now likely to be settled out of the court. However, it could not be ascer tained whether the parties involved have already initiated the discussions.
According to Tata Capital's petition, the developer had defaulted on loan obligations from December 2012 and was liable to pay Rs 82.6 crore, including interest. It said Hiranandani Palace had applied for a Rs 100-crore term loan, which was sanctioned in July 2011. Tata Capital had disbursed Rs 76 crore, according to the petition.
Tata Capital claimed Hiranandani Palace was under financial stress and was unable to meet liabilities. It alleged the com pany misrepresented facts while taking the term loan. In October 2013, following Tata Capital's petition, the court had asked Hiranandani Palace to disclose details of all its assets.
Hiranandani Constructions is currently working on revamping and relaunching the two townships. The Panvel project, spread over 558 acres, will be renamed Hiranandani Hills, while the nearly 200-acre project in Chennai will be known as Hira nandani Parks. These projects will come under Hiranandani Communities.
Development of the projects was stalled for over two years in the backdrop of a tussle between Hirco and Hiranandani.
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