The Yamuna Expressway Industrial Development Authority (YEIDA) has urged the state government to cancel the lease of two land parcels of Jaypee Group, senior officials at the authority said. YEIDA wants to sell the land in a bid to recover its dues and would also use the proceeds to refund the money of homebuyers of five scrapped projects of the debt-ridden realtor, they said. Jaypee group owes over Rs 4,300 crore to YEIDA. “We have urged UP government and have sought their approval to take over the land from Jaypee and sell it to recover our dues and we will also refund money to the homebuyers who have invested in the projects which have been scrapped,” a senior official at the authority said. As many as 3,365 buyers have invested in five projects of Jaypee group in the YEIDA area — Budh Circuit-01, Budh Circuit-02, Nature View, Yamuna Vihar and Udaan.
In August, the authority had assured the homebuyers that their money would soon be refunded. They had promised that homebuyers of five scrapped projects of Jaypee Infratech in its area will get a refund “at any cost”. “We will cancel the Jaypee Group’s lease, liquidate assets, recover the money and pay it back to them if the realtor fails to pay the first installment of the refund by October end,” a senior official at the authority had said earlier.
Under an agreement with the builder, the first installment of the refund was to be given to homebuyers in October 2017, the second in February 2018, the third in May 2018 and the final in July 2018, officials said. “Jaypee Group has not paid the homebuyers by October. They have also not paid to the YEIDA in spite of repeated notices,” the official said.
One piece of land is 500 hectares of land for development (LFD), which was released to the company as part of the concessionaire agreement for developing the 165-km Yamuna expressway. The other piece of land is related to a 1,000-hectare special development zone (SDZ), which is located in three pockets for constructing residential units. According to the officials, in the SDZ scheme, the company owes it around Rs 1,450 crore, while in the LFD scheme, the dues amount to Rs 2,880 crore.