Suraksha reaches out to Jaypee homebuyers

MUMBAI: Asserting that its bid to acquire Jaypee Infratech is legally compliant and better, Suraksha group has urged homebuyers to support its resolution plan and vote against a proposal to allow more time for submission of new offers by the company and NBCC.

In a video message on You Tube platform, Suraksha ARC Managing Director and Chief Executive Officer Aalok Dave has sought to reach out to around 20,000 homebuyers whose investments are stuck in stalled projects of Jaypee Infratech Ltd (JIL).

Stating that the company does not fear competition, Dave told homebuyers that "we should be your first preference and not standby option." The voting process on whether to seek fresh bids for JIL from Suraksha group and NBCC commenced on Thursday. The video message was posted late Wednesday.

Based on his discussions with lenders, Dave said banks are in favour of resolution and they will vote for a plan that is compliant and better for them on merit.

During its meeting on May 24, the Committee of Creditors (CoC) deferred the voting process on Suraksha group's bid. It also decided to conduct a voting process on May 27-28 to decide whether the two contenders -- NBCC and Suraksha group -should be given additional time to submit their revised and final bids.

If the voters decide against giving more time to both the parties, then Suraksha group's offer would be put to vote next week.

Earlier, on May 20, the CoC had rejected NBCC's bid citing non-compliance with certain provisions of the Insolvency and Bankruptcy Code (IBC).