Homebuyers interest to be considered in Jaypee’s resolution plan
The interim resolution professional (IRP) for Jaypee Infratech, Anuj Jain, has assured all the homebuyers of the company that every relevant suggestion to safeguard their interest will be considered in the final resolution plan. The IRP is likely to submit his resolution plan by the first week of February. In a reply to a couple of letters written by around 2,400 homebuyers of Jaypee Infratech’s Noida Wish Town project through law firm Trilegal, Jain has assured that all relevant aspects and suggestions to safeguard the interest of buyers, including inputs of Shekhar Naphade and Shubhangi Tuli, Supreme Court-appointed representatives of home buyers, would be duly considered in the resolution plan. “From the day I assumed my duties as an interim resolution professional and thereafter as the resolution professional of JIL (Jaypee Infratech), I have taken all possible measures to run the enterprise as a going concern while keeping foremost in my mind the interest of homebuyers, which shall continue to be my endeavour even in the future,” Jain said in the letter to homebuyers.
On October 27, the IRP had invited companies, including real estate firms, with a net worth of over `1,000 crore to complete the delayed projects of Jaypee Infratech, including Noida’s Wish Town project, by infusing `2,000 crore or more. JSW Group, Vedanta, Lodha Group and Deutsche Bank are among 18 companies that have shown interest in buying Jaypee Infratech. “The resolution plan process is going on. As and when resolution plans are received from shortlisted persons, I will examine them in accordance with the provisions of the IBC (Insolvency and Bankruptcy Code) and regulations framed thereunder including how best the proposed plan or plans seek to balance the interest of various stakeholders and protect interest of homebuyers,” the IRP said. Homebuyers have also claimed that Jaiprakash Associates has diverted over `10,000 crore from its subsidiary Jaypee Infratech for construction of Yamuna Expressway and other real estate projects. Jain assured the homebuyers and said the related party transactions entered into by Jaypee Infratech are under examination and necessary action will be initiated in accordance with the law.
The IRP also informed homebuyers that their claims are in the process of being verified and might take some more time. Homebuyers of Jaypee Infratech have also requested Jain to give them access to portions of the resolution plan dealing with their interest or upload those parts of the broader revival proposal on a website. They have also sought possession of their flats by December 2018 and compensation for the delay at 18% per annum. They have also urged the IRP to ensure that the super area of the allotted flats should not be increased at the time of possession. Further, they have also sought refund of car parking charges and services tax collected.
On September 11, the apex court had asked JAL to deposit Rs 2,000 crore with its registry by October 27 to protect the interest of flatbuyers. The Allahabad bench of the NCLT classified Jaypee Infratech, a subsidiary of Jaiprakash Associates, as insolvent on August 9 on a petition filed by IDBI Bank under the Insolvency and Bankruptcy Code 2016. Jaypee had defaulted on a Rs 526-crore loan by the bank.