SC orders to complete Jaypee Infratech resolution in 90 days

Noida: Home buyers of the debt-ridden Jaypee Infratech stage a demonstration against the company, outside the venue where the company’s management is holding a meeting with the home buyers, in Noida, on April 19, 2019. (Photo: IANS)

New Delhi, Nov 6 (IANS) In what could be a relief to the home buyers, the Supreme Court on Wednesday has ordered to complete Insolvency Resolution Process (IRP) of Jaypee Infratech Ltd within 90 days.

A bench of Justices A. M. Khanwilkar and Dinesh Maheshwari turned down the Jaypee group plea for participating in the auction of its debt-ridden group firm, Jaypee Infratech Ltd (JIL).

The court said only the resolution plan of Suraksha Realty and National Buildings Construction Corporation Limited (NBCC) for completing pending projects of Jaypee Infra will be considered by the Committee of Creditors. Suraksha Realty and NBCC were the final bidders and had submitted proposal to complete the stalled projects of Jaypee Infratech.

The court also lifted its stay on proceedings against Jaypee group under Insolvency and Bankruptcy Code.

“We direct the IRP to complete the CIRP (Corporate Insolvency Resolution Process) within 90 days from today. In the first 45 days, it will be open to the IRP to invite revised resolution plan only from Suraksha Realty and NBCC respectively, who were the final bidders and had submitted resolution plan on the earlier occasion and place the revised plan(s) before the CoC, if so required, after negotiations and submit report to the adjudicating authority NCLT within such time,” the court said.

“In the second phase of 45 days commencing from December 21, 2019, margin is provided for removing any difficulty and to pass appropriate orders thereon by the adjudicating
authority,” the court said.

The Jaypee Group had moved the Supreme Court against the National Company Law Appellate Tribunal (NCLAT) order that barred its parent company Jaypee Associates from bidding for Jaypee Infratech.

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