Once a dominant force in Mumbai’s real estate sector, Housing Development and Infrastructure Limited (HDIL) is now synonymous with stalled projects and shattered dreams. The company, once backed by political connections and massive redevelopment projects, collapsed years ago, leaving around 3,000 homebuyers in the lurch. Despite collectively paying nearly ₹900 crore, many of these buyers—who booked apartments as far back as 2010 are still waiting for possession.
Projects across Mumbai and its outskirts, including Nahur, Mulund, Kurla, Vasai, and Palghar, remain unfinished and abandoned. HDIL’s Majestic Towers in Nahur, which was to feature four 36-story towers, saw bookings for about 400 flats. In Mulund, the 40-floor Whispering Heights project halted midway, with 450 out of 1,450 flats sold. In Kurla, buyers of Galaxy Apartments collectively invested ₹104 crore. Meanwhile, Paradise City in Palghar stands as the largest affected project, with 2,047 sold flats and ₹138 crore stuck in limbo.
The downfall of HDIL began in 2019, when its promoters, Rakesh and Sarang Wadhawan, were arrested for their alleged involvement in the ₹4,700 crore Punjab & Maharashtra Cooperative Bank loan fraud. Though released on bail last year, the insolvency proceedings of HDIL have turned into a complex legal battle.
That same year, the Bank of India initiated the Corporate Insolvency Resolution Process (CIRP). A resolution plan, already approved by a majority of creditors, now awaits a verdict from the National Company Law Tribunal (NCLT). However, the former promoters are opposing it. BMC, claiming to be a secured creditor, has also filed a separate case, seeking to recover ₹945 crore in unpaid property tax.
HDIL has admitted liabilities of over ₹8,138 crore, including ₹6,835 crore owed to secured financial creditors and ₹920 crore to unsecured financial creditors. Rakesh Wadhawan has attempted to revive the company, arguing that its assets were undervalued in the resolution process.
With legal hurdles mounting and no resolution in sight, homebuyers continue to push for their rightful properties. “The CIRP proceeds and creditor settlements should not deprive us of our homes,” said a group of affected buyers, hoping for long-overdue justice.
Source: Times of India
