New Delhi, Sept. 24 -- The Supreme Court on Tuesday allowed the Central Bureau of Investigation (CBI) to register six criminal cases linked to the alleged nexus between banks and builders in subvention schemes for residential projects outside Delhi-NCR. This comes two months after the CBI registered 22 cases related to housing projects within Delhi-NCR.

The order was passed by a bench headed by Justice Surya Kant in a case filed by homebuyers of various housing projects. The court had ordered a CBI inquiry in April after a report by court-appointed amicus curiae advocate Rajiv Jain revealed that builders had siphoned off large sums from bank loans under the subvention scheme.

A subvention scheme is a tripartite arrangement between the b...