Godrej Properties shares fell over 7% amidst developments surrounding the dispute settlement regarding the Godrej Air Project in Gurugram. The stock declined as much as 7.2% to ₹1,734.65 per share on BSE during Friday's trading session, September 10, as investors reacted to the settlement announcement. The company made the disclosure after market hours on Thursday, in response to a letter from the National Stock Exchange (NSE) seeking clarification on a media report titled "Orris Infrastructure and Godrej Properties settles dispute over Gurugram project." The stock has shown heightened volatility, declining 12% in the past week and 14.5% monthly, though it remains up 8% in three months and 5.5% over six months. The company confirmed to NSE that there was no material movement in its share price on September 8 that was attributable to the report.
According to reports from CNBC TV18, Business Standard, and Economic Times, Godrej Properties Ltd announced that the settlement of disputes concerning its Godrej Air Project in Gurugram is expected to have a financial impact of approximately ₹70 crore. The company disclosed this information in its response to the National Stock Exchange of India Ltd (NSE), stating that the dispute was conclusively settled through a Settlement Agreement dated August 25, 2026. The settlement was reached following discussions between the parties spanning over a month, with implementation of the agreed actions currently underway. In its latest filing, Godrej Properties confirmed that following discussions spanning over a month, disputes relating to the Godrej Air Project in Gurugram were amicably, finally, and conclusively settled through a Settlement Agreement dated 25 August 2026. The company noted that the settlement also benefits homebuyers of the project.
As reported by CNBC TV18, Business Standard, and Economic Times, the company stated that the estimated financial impact of the settlement on the company is approximately ₹70 crore. Godrej Properties emphasized that the company will update this in its public disclosure once the actions under the Settlement Agreement are completed. The filing shows the company has quantified the estimated financial impact of the settlement at approximately ₹70 crore, with the company stating it will disclose formally once all actions under the agreement are completed. The company had not disclosed the settlement earlier as the actions contemplated under the agreement were still being implemented, stating that a disclosure before completion would have been "premature and speculative." The parties are currently undertaking the steps required to implement the agreed actions under the Settlement Agreement, with implementation underway.
According to CNBC TV18, Business Standard, and Economic Times, the matter relates to an Order dated September 3, 2026, passed by the Bombay High Court, which recorded the execution of the Settlement Agreement. The court has listed the matter for September 24, 2026, to report compliance with its directions. Godrej Properties stated that it will make the appropriate disclosure, if required, once the relevant actions are fulfilled and the compliance status is placed before the Bombay High Court at the next hearing on September 24. The company confirmed to NSE that it has been and continues to be in compliance with its disclosure obligations under the SEBI Listing Obligations and Disclosure Requirements Regulations. The company noted that any disclosure before completion of the requisite actions would have been premature and speculative.
As reported by Business Standard, the settlement comes after Orris Managing Director Amit Gupta was arrested by Mumbai Police over allegations of forgery, cheating and criminal breach of trust in Vikhroli last month involving the Godrej Air project. Gupta was arrested in connection with FIR number 0183/2026, registered at Vikhroli police station on March 17 on a complaint by Nishikant Bapusaheb Patil, an adviser in Godrej Properties' legal and secretarial department. Godrej Properties had alleged that statutory records of the Limited Liability Partnership (LLP) filed with the registrar of companies were altered without authorisation and false documents were used for the filings. However, the two firms reached an amicable settlement, following which the Bombay High Court directed the immediate and unconditional release of Gupta on August 25.
