Buyers want another firm to deliver Jaypee projects
NOIDA :Around 100 homebuyers in projects of Jaypee Group on Sunday staged a protest at the realty major’s office in Sector 128, located along the Noida expressway, against the proposed takeover of Jaypee Infratech Limited by Jaypee Associates Limited.
Jaypee Infratech Limited has been facing insolvency proceedings for the last nine months.
On August 9, 2017, the National Company Law Tribunal (NCLT) had appointed Anuj Jain, a chartered accountant, as Interim Resolution Professional (IRP) under Insolvency and Bankruptcy Code, after admitting an insolvency plea from IDBI Bank over recovery of its dues from Jaypee Infratech Limited.
In September 2017, homebuyers had filed a plea in the Supreme Court (SC) to protect their interests.
The SC had allowed the IRP to prepare a revival plan. The IRP invited bids from other companies for taking over Jaypee Infratech Limited and delivering flats to homebuyers. Under insolvency and bankruptcy code, the NCLT formed a creditors’ committee, for evaluating the proposals.
“Thirty companies successfully applied as they had wanted to deliver flats. But now, Jaypee Associate Limited wants to take over the bankrupt Jaypee Infratech Limited. We are against the Jaypee Associates Limited taking over Jaypee Infratech. Hand in glove with the IRP, Jaypee Group wants to derail insolvency proceedings and further delay flat delivery,” NS Dhingra, a buyer, said.
Another homebuyer, Pramod Kumar, said, “If Jaypee Group had adequate funds then why did it let Jaypee Infratech become insolvent? If the group had adequate funds, why did it not finish and deliver the projects? We want any new company that takes over Jaypee Infratech to deliver flats without a delay because we have suffered for last 10 years.”
Homebuyers said that they will hold a series of protests until they get justice.
They had planned a large protest but only a few buyers could gather on Sunday due to bad weather conditions.
Jaypee Infratech had in 2007 proposed to build 32,000 flats and allot some plots under the Integrated Wish Town project located in sectors 128, 129,131, 133 and 134 along the NoidaGreater Noida Expressway.
The Jaypee Infratech, which developed the 165-km Yamuna Expressway and Formula One circuit, had promised buyers of delivery of flats from 2011-12. It has delivered around 12,000 flats and plots but, it failed to deliver around 20,000 flats in its Wish Town and Aman projects.
“We gave 10 years to Jaypee Group but it has failed to deliver due to a funds crisis. Now, why does it want to take over Jaypee Infratech when Jaypee Associate itself is facing a huge funds crisis. We hope the Supreme Court and the government will intervene and ensure a new developer takes over,” Aman Bahal, a buyer, said.
The Jaypee Group and the IRP, Anuj Jain, however, rejected the homebuyers’ allegations.
“We want to work harder to deliver the projects. Since now the matter is in the SC, we do not want to comment on the issue,” Ajit Kumar, advisor to Jaypee Group, said.
Jain said, “The buyers’ allegations are not correct. Banks rejected the final resolution plan by Lakshdeep (a bidder who wants to take over) and hence, it was rejected in voting. Now, the SC will decide on this issue.”