Unitech down 17% as firm says don't have money to refund

The company has failed to give home buyers possession of the flats as scheduled and the buyers have asked for refund

Shares of Unitech on Tuesday on the BSE exchange slumped 16.9 per cent to Rs 5.11, after the beleaguered real estate firm expressed its inability before the Supreme Court to refund money to the home buyers of its two delayed projects in Noida and Gurgaon.

On the National Stock Exchange (NSE), it fell sharply by 16.3 per cent to Rs 5.15. “We don't have money. If we had money, we would have constructed the flats and buildings and given to them,” Senior advocated A M Singhvi, the counsel for Unitech, had told a bench of Justices Dipak Misra and U U Lalit on Friday.

More than two dozen home buyers of Unitech’s projects in Noida and Gurgaon have approached the National Consumer Disputes Redressal Commission (NCDRC) after the builder failed to give them possession of the flats as scheduled. The consumer forum had asked the real estate firm to refund the money to home buyers with interest. Meanwhile, BSE has sought clarification from Unitech over this matter.