Punjab And Haryana High Court Halts Oberoi Realtys Three Sixty North Project Amid Allegations Of Fdi Violations

New Delhi: The Punjab and Haryana High Court has restricted Mumbai-based Oberoi realty to create any third party rights in it’s recently launched Gurgaon project and not to do any allotment till AIPL’s complaint is decided by DTCP.NCR-based realty developer AIPL had filed a complaint with the Department of Town and Country Planning challenging the validity of the project's licence.It has also alleged violations of foreign direct investment (FDI) norms. Sources said that AIPL had done a MoU for the same project in 2021.“Considering the magnitude of the project and the fact that the rights of various allottees/prospective allottees are involved, it is further directed that till the the complaint/ Representation is decided, no further allotment shall be made by the developer to any further prospective allotee nor shall any further third-party rights be created by them,” the HC has said in the order.The HC has also directed the DTCP to decide the complaint in accordance with law on the date, for which it is already fixed - July 20- after giving adequate and appropriate opportunity to all the stakeholders including the petitioner.“In case the aforesaid application for any reason cannot be decided on the aforesaid date, then the Director, Town and Country Planning will hear the application on day-to-day basis and would decide the same, within a further period of two weeks strictly in accordance with law,” the HC has said.Oberoi Realty has recently launched the project and recorded gross bookings of approximately Rs 8,109 crore at Three Sixty North, its first luxury residential development in the National Capital Region (NCR).The project in question comprises of 14.816 acres of land. According to counsels for the petitioner, there have been some Foreign Direct Investment into the project regarding which different licences have been granted by the concerned Director of Town and Country Planning at different points of time.Oberoi Realty told court that it had also invested about Rs 500 crore in the project and in case the further process is stalled, it will cause irreparable loss to them.It has also submitted that it is correct that there are about 350 allotments which have been made and money has been collected from allottees and this is an ongoing process on day-to-day basis. They have also submitted that it is correct that tentative valuation of the project is about Rs 8,000-10,000 crore.They have also submitted that there had been no violation of the FDI policy or any other provision of law.The company is developing an ultra-luxury residential project across 14.8 acres on Golf Course Extension Road in Sector 58, Gurugram.In the first phase, it will develop about 3 million sq ft with a revenue potential of Rs 11,000 crore. The overall project has a revenue potential of Rs 16,000 crore.The company is demolishing the existing structures on the site and will develop seven residential towers along with a boutique retail area.In the first phase, the company has launched 3 BHK + Studio, 4 BHK + Studio, duplex and penthouse residences, with saleable areas ranging from about 5,500 sq ft to more than 13,000 sq ft. Prices start at Rs 18 crore, excluding applicable taxes.