NCLT approves resolution plan for Universal Buildwell's stalled projects

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In a significant victory for over 1,000 homebuyers, the National Company Law Tribunal (NCLT) has approved a resolution plan for Universal Buildwell Private Limited's stalled projects.

This decision, passed on March 7, 2025, paves the way for homebuyers to receive their units with the help of their own association, which will complete the construction in a time-bound manner.

The NCLT Bench, comprising Justice Ashok Kumar Bhardwaj and Justice Subrata Kumar Dash, approved the resolution plan.

Advocate Swapnil Gupta, Advocate Shivambika Sinha, Advocate Vaibhav Mendiratta, and the team of Capital Law Chambers LLP represented the resolution professional. Senior Advocate P Nagesh and Advocate Harshal Kumar represented the homebuyers.

Universal Buildwell, founded by Raman Puri and family in 2004, had launched several projects in prime locations in Faridabad and Gurugram, including Universal Aura, Universal Greens, Universal Business Park, Universal Prime, Universal Square, Market Square, and The Pavilion.

However, the builder's failure to complete and deliver the projects led to insolvency proceedings initiated by the NCLT in 2018.

Due to the builder's failure to complete and deliver the project, insolvency was initiated vide Order dated 03.07.2018 by the National Company Law Tribunal, Bench-II, New Delhi, and Atul Kumar Kansal was appointed as Resolution Professional for the Corporate Debtor.

The case took a dramatic turn in 2024 when the ex-promoters, who had been absconding, were arrested by the Delhi Police's Economic Offences Wing.

It is one of the most complicated cases, involving multiple projects in prime locations in Faridabad and Gurugram and more than 1,000 homebuyers.

In a unique move, the homebuyers pooled their resources to construct flats for three projects and make settlement payments to banks. The Resolution Professional, Atul Kumar Kansal, worked closely with the homebuyers to devise a plan that would ensure the completion of the projects.

The NCLT Bench's approval of the resolution plan, comprising Justice Ashok Kumar Bhardwaj and Justice Subrata Kumar Dash, marks a significant milestone in the case. Thanks to their collective efforts and determination, the homebuyers, represented by Sr Adv P Nagesh and Adv Harshal Kumar, can now look forward to receiving their units.

This victory sets a precedent for homebuyers' associations to take charge of completing stalled projects, providing a beacon of hope for many others who have been affected by similar cases.