Supreme Court stays NCLT order against Unitech

Unitech had challenged the government takeover of the board

The Supreme Court has stayed the National Company Law Tribunal order against realty major Unitech. Yesterday, the court had expressed unhappiness over the order and had said that NCLT should have taken its leave before allowing government to take over Unitech's management.

The NCLT had ordered the supersession of Unitech's board as the government had filed a company law petition alleging mismanagement of funds. This came at a time when the Supreme Court had been trying to find a solution for thousands of homebuyers. The homebuyers had paid large sums to Unitech for their flats which were not delivered.

PTI quoted Attorney General, KK Venugopal who told the Supreme Court that the government should not have approached the NCLT with a plea to take over the management of Unitech.