The National Company Law Appellate Tribunal (NCLAT) issued an ultimatum on Wednesday, stating that if the disputes between Yamuna Expressway Industrial Development Authority (YEIDA) and the Suraksha group regarding Jaypee Infratech are not resolved by the second week of April, it will proceed with further action. Last March, the National Company Law Tribunal (NCLT) approved Suraksha group’s resolution plan, but progress has been slow as YEIDA and Jaiprakash Associates have challenged the approval in petitions filed before the NCLAT.
Jaiprakash Associates, the original promoter of Jaypee Infratech, entered insolvency resolution proceedings in 2017.
During the recent hearing on February 19, YEIDA stated that the proposal from the Suraksha group had been presented to the Uttar Pradesh Government and was under consideration. However, during Wednesday’s proceedings, YEIDA’s counsel revealed that the proposal was still being reviewed by the State Government, with no final decision made yet. The counsel suggested that a resolution should be reached within a short period, and if not, the NCLAT could proceed with hearing the appeal on its merits after the second week of April.
NCLAT responded by emphasizing that if no settlement is reached by the next hearing, the appeal would be heard based on its merits. It also permitted the Suraksha group to proceed with implementing their plan and construction activities. Additionally, the tribunal directed the Monitoring Committee overseeing the insolvency process to submit a status report within two weeks, following a request from their counsel.
Homebuyers’ counsel noted during the proceedings that construction by the Suraksha group had not yet commenced, despite no interim orders preventing progress on the project.
The implementation of Suraksha group’s resolution plan is anticipated to bring relief to over 20,000 homebuyers invested in Jaypee Infratech projects. According to the latest newsletter from the Interim Monitoring Committee, Suraksha group has proposed an amicable solution to YEIDA for the benefit of all stakeholders, including the homebuyers and farmer families awaiting resolution for the past decade.
The National Company Law Appellate Tribunal (NCLAT) issued an ultimatum on Wednesday, stating that if the disputes between Yamuna Expressway Industrial Development Authority (YEIDA) and the Suraksha group regarding Jaypee Infratech are not resolved by the second week of April, it will proceed with further action. Last March, the National Company Law Tribunal (NCLT) approved Suraksha group’s resolution plan, but progress has been slow as YEIDA and Jaiprakash Associates have challenged the approval in petitions filed before the NCLAT.
Jaiprakash Associates, the original promoter of Jaypee Infratech, entered insolvency resolution proceedings in 2017.
During the recent hearing on February 19, YEIDA stated that the proposal from the Suraksha group had been presented to the Uttar Pradesh Government and was under consideration. However, during Wednesday’s proceedings, YEIDA’s counsel revealed that the proposal was still being reviewed by the State Government, with no final decision made yet. The counsel suggested that a resolution should be reached within a short period, and if not, the NCLAT could proceed with hearing the appeal on its merits after the second week of April.
NCLAT responded by emphasizing that if no settlement is reached by the next hearing, the appeal would be heard based on its merits. It also permitted the Suraksha group to proceed with implementing their plan and construction activities. Additionally, the tribunal directed the Monitoring Committee overseeing the insolvency process to submit a status report within two weeks, following a request from their counsel.
Homebuyers’ counsel noted during the proceedings that construction by the Suraksha group had not yet commenced, despite no interim orders preventing progress on the project.
The implementation of Suraksha group’s resolution plan is anticipated to bring relief to over 20,000 homebuyers invested in Jaypee Infratech projects. According to the latest newsletter from the Interim Monitoring Committee, Suraksha group has proposed an amicable solution to YEIDA for the benefit of all stakeholders, including the homebuyers and farmer families awaiting resolution for the past decade.
