CBI Probes 24 Real Estate Projects in Noida, Greater Noida in Subvention Scheme

Noida, May 23, 2025: The CBI is investigating 24 real estate projects in Noida, Greater Noida and off the Yamuna Expressway for alleged financial irregularities in a subvention scheme following an April 29 Supreme Court (SC) order.

A subvention scheme is a tripartite agreement between the buyer, bank and developer in which the buyer pays 5 per cent-20 per cent of the amount up-front and the bank loans the rest to the developer in EMIs. The developer pays the interest usually for two to four years until the buyer takes possession. Subsequently, the buyer starts paying back the loan in EMIs.

Under the subvention scheme probed by the CBI, which might have defrauded thousands of homebuyers, when some developers defaulted on these payments, banks started pestering buyers to pay EMIs for undelivered flats.

The SC has asked the development authorities to cooperate with the investigation and appoint nodal officers. Now, the Noida, Greater Noida and Yamuna Expressway authorities have started preparing and handing over documents to the CBI

The CBI is also probing whether the loans violated Reserve Bank of India and National Housing Bank guidelines and were diverted from construction.

The Noida Authority was asked to submit layout plans, sanction letters, dues statements, registry details and information about nine projects.

The projects include Supertech’s Cape Town in Sector 74, Logix’s Blossom Zest in Sector 143, Mahagun Mezzaria in Sector 78, Ajnara Ambrosia in Sector 118, Jaypee Greens Orchard in Sector 131, Shubhkamna Tech Homes in Sector 137 and three projects in Sector 150 by Implex Infrastructure, Sequel Buildcon and Logix Heights.

The CBI wants information from the Greater Noida Authority about 11 projects, of which several overlapped with Noida’s list, including those by Supertech and Shubhkamna.

The projects include Supertech’s Ecovillage 2 and 3 and Czar, along with projects by AVJ Heights, Earthcon Universal, Rudra, Geotech, Morpheus Developers, Future World and Bulland Group.

Yamuna Expressway Authority was asked to submit information about four projects—Supertech’s UP Country in Sector 17A, Oasis Realtech’s Grandstand in Sector 22D and Jaypee Group’s Kove and Kassia in Sector 25.

The CBI’s seven preliminary inquiries cover Supertech, Noida, Greater Noida, Yamuna Expressway, Gurgaon, Ghaziabad, and key metropolitan areas like Mumbai, Bengaluru, Kolkata, Mohali and Allahabad.

The apex court also directed the UP and Haryana governments to appoint police officers to assist the CBI and designate deputy secretary-rank nodal officers from the RBI, RERA (UP and Haryana) and the housing and the urban affairs ministry to support coordination.

The probe revealed how banks sanctioned huge loans to developers without verifying the progress of construction and often relying on subvention agreements.