In yet another blow to cash-strapped real estate major Unitech, the Company Law Board (CLB) has asked the Registrar of Companies to file suitable action against the company for failing to make payment to depositors who had invested in its fixed deposit scheme.

In March, the CLB had asked Unitech to make a payment of ₹30 crore to depositors. It had given the realty major time till June to comply with the directive. However, the company had failed to make any payments.

Since Unitech was unable to cough up ₹30 crore of depositors’ money, CLB also asked depositors to take appropriate legal recourse in the matter.

“My FD for ₹10 lakh matured but I have received neither interest nor principle. I am a senior citizen with no income,” said investor Chetlur Sreenivasa.

Time extension Unitech had failed to repay matured FDs despite making profits. It approached the CLB to grant extension of time for repayment of deposits.

“When this petitioner company could not repay ₹30 crore of money in the time given by this bench as asked by the company on 11.03.2016, it cannot be possible for the company to clear a due of ₹550 crore payable to the depositor in the near future,” the CLB said.

Vibhu Bansal, who has formed a group of several such aggrieved investors, also noted: “Now that the CLB has given a ruling on the matter, I would like the government to take action and protect investors.” The investors are also jointly writing a letter to the Ministry of Corporate Affairs seeing its intervention.

The Companies Act, 2013 was enforced with effect from April 1, 2014.

A company which has accepted deposits prior to commencement of the Act has to repay the same within one year from the commencement of the Act, i.e., up to 31.03.2015 or on the due date of such payments, whichever is earlier.

Any company failing to repay the deposit within aforesaid time-limit shall be liable to pay minimum fine of ₹1 crore, which may be extended up to ₹10 crore.

Every officer of the company who is in default shall be liable to imprisonment which may be extended up to seven years and a fine of ₹2 crore. Unitech has also been in news for several delayed housing projects. Last year, the National Consumer Disputes Redressal Commission (NCDRC) ordered it to pay compensation at 12 per cent per annum for delaying delivery of apartments to buyers in one of its Gurgaon projects.

Unitech’s consolidated net debt as on March 31, 2016 stood at ₹7,165.70 crore. 

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