The UP cabinet has approved the Lucknow Development Authority's takeover of Ansal API's stalled Sushant Golf City township, backed by ₹2,912 crore in seed capital, pending NCLT approval.
The Uttar Pradesh cabinet, chaired by Chief Minister Yogi Adityanath, has approved a proposal for the Lucknow Development Authority to take over Ansal API's stalled Sushant Golf City township. The takeover comes backed by ₹2,912 crore in seed capital. A commissioner-led committee will oversee both the takeover process and the development work that follows, and roughly 5,000 homebuyers stand to benefit if the plan goes through as approved.
Ansal Properties and Infrastructure Limited entered Corporate Insolvency Resolution Process in February 2025, after IL&FS Financial Services petitioned the NCLT over a ₹257 crore loan default. The tribunal suspended Ansal API's board and appointed Navneet Kumar Gupta as Interim Resolution Professional.
NCLAT later narrowed the insolvency proceedings specifically to Sushant Golf City in Lucknow and three separate Rajasthan projects, Ansal Royal Plaza, Orchid Plaza and Tulip Plaza, rather than the company's entire portfolio. That NCLAT order, dated January 7, 2026, was subsequently upheld by the Supreme Court on April 16.
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Different figures circulating around this case describe different slices of the affected population, worth untangling rather than treating as interchangeable. The 5,000 figure attached to this week's cabinet approval refers to homebuyers awaiting possession or completed development work. Separately, over 3,000 investors, buyers of plots, flats and villas specifically, have been named in reporting on the underlying insolvency case, some of whom have been waiting since as far back as 2009.
Sarojininagar MLA Rajeshwar Singh has cited a broader figure still, more than 10,000 families currently living across the 31 villages that make up the township, a population count rather than a count of unresolved buyer claims. All three numbers describe real, overlapping groups with a stake in this outcome, just at different scopes.
Cabinet approval is a necessary step, not a final one. LDA still needs the National Company Law Tribunal's approval to actually take control of the project, since Sushant Golf City remains under active insolvency proceedings. Only once that legal clearance comes through, alongside completion of the required procedural steps, can development work formally restart. That sequencing matters for anyone tracking a realistic timeline here: state government approval and NCLT approval are two separate hurdles, and this week's news clears only the first one.
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MLA Rajeshwar Singh has been pushing this issue directly with the Chief Minister, urging LDA to approach the NCLT, take the township under its control, and complete pending development work in line with the original development agreements and the UP Hi-Tech Township Policy.
He's also raised the question of Sushant Golf City's mortgaged land, roughly a quarter of the township's total, and pushed for that land to be put to effective use as part of any resolution. That level of sustained legislative pressure, on a single stalled township rather than a policy-wide issue, reflects just how long this specific case has dragged on and how directly it's affected a sitting MLA's own constituents.
