Big discount for 20,000 home buyers: NCLT approves acquisition of Jaypee Infratech

NEW DELHI: More than 20,000 people in huge relief home buyersNational Company Law Tribunal (NCLT) on Tuesday withdrew its takeover bid from Mumbai-based Suraksha Group Jaypee Infratech Ltd through insolvency proceedings.
The development comes nearly six years after the debt-ridden company filed for insolvency.
The decision will pave the way for the completion of more than 20,000 residential units in various stalled projects of Jaypee Infratech Ltd (JIL) spread across Noida and Greater Noida regions in the National Capital Region.

An Interim Resolution Professional (IRP) review committee will be established with the applicant to oversee the implementation of the resolution plan.
The commission to be formed according to the decision plan will be formed after seven days.
The resolution plan also commits the successful resolution candidate to deliver the units to the homebuyers within the time frame specified in the plan.
The question group proposed to complete the construction of the rest apartments Because home buyers have been waiting for more than 10 years.
Chronology of events
On November 22 last year, the NCLT reserved its order seeking approval of the Suraksha group’s application on the IRP application of Jaypee Infratech Ltd (JIL).
In June 2021, the Suraksha Group received approval from the Committee of Creditors (CC), which includes banks and home buyers, to acquire JIL.
JIL was among the first list of 12 companies that the Reserve Bank of India (RBI) has directed banks to approach the NCLT for insolvency proceedings.
Section 12 (1) of the Insolvency and Bankruptcy Code (IBC) mandates that the CIRP be filed within 180 days from the date of receipt of the petition. Subject to certain conditions, the CIRP may be extended and terminated within 330 days, including any extension and time taken in litigation.
CIRP deals with the corporate insolvency resolution process.
However, JIL was an exception where it faced several lawsuits.
In the fourth round of the bidding process to find a buyer for JIL in 2021, Suraksha Group won the tender with 98.66 percent votes. The company won 0.12 percent more votes than the state-run NBCC, which was also in the fray.
12 banks and more than 20,000 home buyers have the right to vote in the COC.
The CIRP against JIL was initiated in August 2017 at the request of a consortium led by IDBI Bank.
In its final resolution plan, the Suraksha group offered bankers over 2,500 acres of land and nearly Rs 1,300 crore by issuing non-convertible debentures.
He also proposed to complete all unfinished apartments in the next four years.
JIL’s creditors demanded Rs 9,783 crore.
In the first round of insolvency proceedings in 2018, Suraksha Group’s Lakshadweep bid for Rs 7,350 crore was rejected by lenders.
The CoC rejected the bids of Suraksha and NBCC in the second round held in May-June 2019.
In November 2019, the Supreme Court directed to invite revised bids only from NBCC and Suraksha. Then, in December 2019, the CoC approved the NBCC resolution plan with a 97.36 percent vote during the third round of the bidding process.
In March 2020, NBCC received approval from NCLT to acquire JIL.
However, the order was challenged before the NCLAT and later in the Supreme Court.
On March 21, 2021, the apex court ordered a fresh round of bidding between NBCC and the Suraksha Group.
(With inputs from PTI)

Leave a Reply

Your email address will not be published. Required fields are marked *