Realty firm Jaiprakash Associates Limited (JAL) on Thursday deposited Rs 150 crore in the Supreme Court registry, after the apex body directed the realty firm to deposit the mentioned amount by December 14. The apex court had also directed the firm to deposit another sum of Rs 125 by December 31 for which the group has moved an application in front of the bench hearing the personal properties case headed by Chief Justice Deepak Misra seeking extension of time to deposit remaining amount within a month. The court on November 22 had accepted a demand draft of Rs 275 crore submitted by the firm and then directed the group to pay another two installments of Rs 150 crore and Rs 125 crore respectively by December 14 and 31. The court which is listed for hearing of the case tomorrow, comprising of Justice A M Khanwilkar and justice D Y Chandrachud, had earlier directed 13 directors of JAL to not alienate its personal properties from immediate family members and also cautioned that any deviation would result in criminal prosecution.
The court has also made clear that its “indulgence” in allowing the group to pay Rs 2000 crore in installments is aimed at the interest of the homebuyers. Supreme Court had restrained 13 directors – five promoters and eight independent directors from freezing their assets warning them of action pertaining to contempt of court. The directors were asked to file affidavits listing their personal assets and are required to appear on January 10 again. On November 13, the bench had restrained the managing director and other directors of Jaypee Infratech Limited from travelling abroad without prior permission from the apex body. The court in order to protect the 32,000 troubled home buyers’ interests has asked Jaypee Infratech to hand over the records of all buyers to Interim Resolution Professional (IRP) to draft a resolution indicating protection of interests of buyers and creditors.
The bench has also stayed all the proceedings of the Jaypee Infratech in any of the forum like consumer commission as IRP has overtaken the group’s administration. Supreme Court had stayed insolvency proceedings against the firm at National Company Law Tribunal (NCLT) on September 4 after a home buyer Chitra Sharma through her lawyer Ashwarya Sinha had moved the apex court claiming that 32,000 buyers had booked their flats and now are paying their instalments. Chitra had argued that flat buyers under the Insolvency and Bankruptcy Act of 2016 do not fall under the category of secured creditors and can only get back their money is something is left after repaying their secured and operational creditors.
The NCLT, on August 10, admitted that insolvency proceedings were initiated after IDBI bank’s plea. Hundreds of buyers are left in the lurch after the debt-ridden realty firm defaulted on Rs 526 crore loan.