Crisis-hit Jaiprakash Associates has deposited Rs 100 crore in the Supreme Court’s Registry as per the court’s directions in a case related to delay in delivery of flats by its subsidiary, according to sources.
The apex court had on April 16 directed Jaiprakash Associates Ltd (JAL) to deposit Rs 100 crore with its Registry by May 10. The flagship company of the Jaypee group has now deposited a total of Rs 750 crore with the Registry of the Supreme Court, they added.
Home buyers of debt-ridden Jaypee Infratech, the real estate arm of JAL, had moved the apex court seeking relief in view of significant delays in completion of housing projects.
The plea had further stated that home buyers were left in the lurch after the NCLT, on August 10 last year, admitted IDBI Bank’s plea to initiate insolvency proceedings against the debt-ridden Jaypee Infratech for defaulting on a Rs 526-crore loan.
In 2007, Jaypee Infratech started the development of 32,000 flats and plots in its township Wish Town at Noida. It has so far delivered 9,500 apartments and applied for occupancy certificate for giving possession of another 4,500 flats.
The company plans to deliver the remaining 18,000 flats by 2021. It needs Rs 6,500 crore to construct these flats, while Rs 4,000 crore is receivables from customers, leaving a shortfall of Rs 2,500 crore.
While admitting the plea of IDBI bank plea, the National Company Law Tribunal (NCLT) had appointed Anuj Jain as Interim Resolution Professional (IRP) to mange the company’s business. Later, the IRP invited bids from investors interested in acquiring Jaypee Infratech and completing the stuck real estate projects in Noida and Greater Noida.
Consequently, Lakshadweep — a joint venture between Sudhir Valia-led Suraksha Asset Reconstruction Company and Mumbai-based Dosti Realty — has emerged as a front runner to acquire Jaypee Infratech with Rs 7,350 crore bid.
Earlier this week, Jaypee group promoter Manoj Gaur made an offer of over Rs 10,000 crore to the lenders of Jaypee Infratech. Jaypee Infratech, which is into road construction and real estate business, has constructed the Yamuna Expressway, connecting Delhi and Agra.
via Jaypee group deposits Rs 100 crore with Supreme Court’s Registry