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Jaypee homebuyers meet resolution professional, want Rs 750 crore with NCLT to be used for construction

Homebuyers need to select a candidate in an online vote who would represent them in the Committee of Creditors meeting. The last date for voting is August 28, the CoC meeting could be held in mid-September.

Vandana Ramnani @vandanaramnani1

Representatives of Jaypee Homebuyers' Associations have been assured by interim resolution professional (IRP) Anuj Jain that he will take up the issue of the Rs 750 crore that Jaiprakash Associates had deposited with the Supreme Court so that the money can be used for construction purposes, sources said.

The amount was transferred to NCLT earlier this month when the Supreme Court ordered to invite fresh bids in the Jaypee matter and transferred the case.

Three authorised representatives (AR) have been shortlisted to represent homebuyers at the Committee of Creditors (CoC) meeting, which is expected to be held in mid-September. The CoC will decide on Jaypee's insolvency and bankruptcy issue. The three authorised representatives include Sanjay Gupta, Kuldeep Verma and Pankaj Khaitan.

Homebuyers need to select one of the three proposed candidates in an online vote on Voters need to click on the shareholders/members option and enter their User ID shared with them to cast their votes. The last date for voting is August 28, the CoC meeting could be held in mid-September.

Click here in case you have any queries related to voting.

"The discussion with the resolution professional and the three authorised representatives was to understand whether we are secured or unsecured creditors, what should we do to increase our voting share, how will the voting process work, what happens if buyers do not vote, what about people who have been given offer of possession but not taken possession of the unit or not registered their units – what happens to their vote share etc," the homebuyers' association said.

With regards to the Rs 750 crore that is with the NCLT, the resolution professional said that he would write to the tribunal so that it can be used for construction work.

Earlier this month, the Supreme Court disposed all petitions and applications pending before it in the Jaypee Infratech matter and ordered a fresh round of bidding for the company, but barred parent Jaiprakash Associates or its promoters from participating in it.

The apex court had said that the insolvency proceedings against Jaypee Infratech will be dealt with by the Allahabad bench of the National Company Law Tribunal (NCLT). The court ordered the reconstitution of the company’s Committee of Creditors in light of recent amendments to the Insolvency and Bankruptcy Code (IBC) that permit homebuyers to be a part of the resolution process.

The insolvency resolution professional had been ordered to invite fresh bids but both Jaiprakash Associates and Jaypee Infratech have been barred from participating.

The Rs 750 crore that Jaiprakash Associates had deposited with the Supreme Court’s registry have now been transferred to the NCLT, which will dispose it off in an appropriate manner, the court had said. It also allowed Reserve Bank of India (RBI) to initiate insolvency proceedings against Jaiprakash Associates.

The NCLT had on August 10 last year, admitted IDBI Bank’s plea to initiate insolvency proceedings against the JIL for defaulting on a Rs 526-crore loan. While admitting the plea of IDBI Bank, the NCLT had appointed Anuj Jain as Interim Resolution Professional (IRP) to manage the company’s business.

First Published on Aug 23, 2018 08:23 pm
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