Supreme Court Sets Final Cut-Off Date for GFIL Investor Claims (15th July 2025), Orders Phased Property Sale Starting with Telangana - 2025-05-02

Supreme Court Sets Final Deadline for GFIL Investor Claims, Greenlights Property Sale

New Delhi, April 29, 2025: In a significant development in the long-pending Golden Forests (India) Limited (GFIL) case, the Supreme Court of India has established a final cut-off date for affected investors to lodge their claims and initiated the process for selling the company's properties to facilitate repayments.

The Bench, comprising Hon'ble Mr. Justice Dipankar Datta and Hon'ble Mr. Justice Manmohan , addressed several key aspects in the matter of M/S. RAIGANJ CONSUMER FORUM vs. UNION OF INDIA & ORS. (Writ Petition(Civil) No. 188/2004), aiming to expedite the resolution process for numerous investors awaiting refunds.

Background: A Long Wait for Investors

The case stems from investments made in schemes floated by GFIL Pvt. Ltd. Following directions from the Supreme Court, a dedicated GFIL Committee was formed to manage claims and assets. An order dated November 27, 2018, had directed the Committee to keep its portal open indefinitely to receive claims from investors for their principal amount and any accrued interest.

However, the Court noted that despite the portal remaining open for nearly seven years, claims continued to trickle in daily, making it difficult to ascertain their legitimacy and hindering the finalization process.

Key Directions Issued

Addressing the prolonged timeline and the need for definitive action, the Court issued the following crucial directions:

Final Cut-Off for Claims:

The GFIL Committee must widely publicize (via its website www.goldenforestcommittee.com, one English daily, and one Hindi daily newspaper) that the final window for lodging claims is from May 15, 2025, to July 15, 2025 .

The notice must clearly state that no claims submitted after July 15, 2025, will be entertained .

The Court reasoned, "Keeping the portal open for almost seven years from 2018 is considered sufÏcient for any investor, who is genuinely affected, to lodge his claim..." This order modifies the previous directive from November 2018.

Initiation of Property Sale:

Recognizing the delay since the last property sale, the Court ordered the commencement of selling GFIL Pvt. Ltd.'s remaining properties on a PAN-India basis, starting with those situated in the State of Telangana .

Mr. Sunil Fernandes , the appointed Amicus Curiae, along with Ms. Suruchi Aggarwal (Senior Counsel for the GFIL Committee) and Mr. Arijit Prasad (Senior Counsel for Income Tax Authorities), have been tasked with collaborating and preparing joint minutes .

These minutes should outline the modalities for auctioning the Telangana properties, including details like Khasra/Survey/Plot numbers, boundaries, reserve prices, and timelines for notice publication and bid receipt.

Notice on Specific Applications:

The Court also issued notice on I.A. Nos. 87699 of 2025 (Intervention) and 104797/2025 (Clarification/Direction), where an applicant raised concerns about a revisional authority in Uttarakhand awaiting the Supreme Court's orders. Counsels for the State of Uttarakhand and the GFIL Committee accepted notice, with counter-affidavits due within two weeks.

Court's Rationale

The Court emphasized the need for finality in the claims process and urgency in liquidating assets. "Considering that years have passed since sale of the last property took place, we further consider it appropriate to go ahead with sale of the properties of GFIL Pvt. Ltd., situated in the State of Telangana as the first step," the Bench observed. The phased approach, starting with Telangana, aims to make the complex task of nationwide asset sale more manageable.

Next Steps

The matter (Writ Petition 188 of 2004) is scheduled to be listed again on May 13, 2025 , specifically to consider the joint minutes prepared by the Amicus Curiae and involved counsels regarding the Telangana property auction modalities.

This order marks a crucial step towards concluding the decades-old GFIL issue, setting a definitive timeline for investor claims and initiating the much-awaited process of asset liquidation to enable potential refunds.