NCLT Approves CHD Vann Segregation: Roots Developers to Lead Project Completion

The National Company Law Tribunal (NCLT) has approved the segregation of the CHD Vann project from the ongoing Corporate Insolvency Resolution Process (CIRP) of CHD Developers Ltd. This decision brings long-awaited clarity to hundreds of homebuyers and enables the project to progress under the exclusive responsibility of Roots Developers Pvt. Ltd.

CHD Vann, a residential development in Sector 71, Gurugram, spans 10.5 acres and consists of 12 towers with a total of 569 units, ranging from two to four BHK configurations. The project was launched in March 2014 and was initially scheduled for completion by October 2018. However, the financial downfall of CHD Developers and the subsequent insolvency proceedings halted the project's progress. The Tribunal's order is a significant ray of hope for homebuyers who have been in limbo for over seven years.

This judgment is not just a legal milestone but also a testament to the transparent and buyer-centric approach maintained throughout the proceedings. The Tribunal placed significant reliance on the consent terms and the Memorandum of Understanding (MoU) that formed the foundation of the Court’s decision. This process ensured that every step, submission, and settlement was placed on record in a transparent and compliant manner.

Once the Resolution Professional formally hands over the project in accordance with the MoU and consent terms, and all legal compliances are completed, Roots Developers is fully prepared to take charge and move the project forward. Roots Developers received overwhelming support from the Committee of Creditors (CoC) after entering into an MoU with homebuyers, securing their rights, and defining the financial framework with Edelweiss ARC. With these components in place, the Tribunal granted approval for the segregation, paving the way for uninterrupted progress.

Rajan Yadav, Director of Roots Developers Pvt. Ltd., said, “We wholeheartedly welcome the Tribunal’s decision. This order brings immense relief to CHD Vann homebuyers who have waited far too long for certainty. Our journey has been rooted in transparency, responsibility, and a deep sense of commitment toward the buyers. We are humbled by the trust homebuyers have placed in us, trust that became the foundation for this outcome. We understand the hopes attached to every home, and we are committed to delivering the project with sincerity and speed.”

Roots Developers is the only landowner that has stepped forward to take full responsibility for the delivery of the project, a commitment that is uncommon in most cases. After the NCLT order takes effect, Roots Developers will be in full control of the implementation and delivery of the CHD Vann project. The company will maintain transparency and regular communication with buyers and all stakeholders to ensure a smooth and fair process.

Roots Developers emphasizes the principles of honesty, accountability, and trust, which have been the cornerstone of their approach and will guide them in every step leading to the successful delivery of homes to the buyers.