Bankers want the state-run firm to reconsider its proposal of sharing profits in the sale of 2,600 unclaimed flats, 858 acre land pledged by JAL
Bankers to cash-strapped Jaypee Infratech (JIL) have asked the resolution applicant NBCC to reconsider its proposal of sharing profits in the sale of more than 2,600 unclaimed flats and 858 acre of land, which has been pledged by Jaiprakash Associates (JAL). Instead, they want the state-run firm to sweeten the land-debt swap deal.
The committee of creditors (CoC) of JIL met on Thursday to deliberate on the revised resolution plans of NBCC and the SPV of Suraksha Realty and Lakshadweep Investments & Finance.
During the deliberations, bankers raised queries on the bid by NBCC. They asked NBCC whether it can drop the two proposals in its revised bid and instead offer more land for the debt-land swap deal, people in know of the developments said.
The issue relates to the 858 acre land which has been mortgaged by JAL. NBCC has said in its revised bid that if this land is made available to them, free from encumbrances, then 75% of the land (except land at Noida) will be transferred to JAL Land SPV.
NBCC also offered half of the profits that will be generated from sale of unclaimed flats. Around 2,611 units have not submitted their claims so far.
Apart from removing these two proposals, the lenders want NBCC to sweeten its land-debt swap deal. NBCC is offering a debt-land swap deal of 1,426 acre across Tappal and Agra.
Lenders also asked that the Expressway should be transferred to them without any debt obligation. NBCC has proposed to raise Rs 2,500 crore against the expressway for completing the pending housing units.
NBCC representatives told the CoC that the points raised by them will be placed before its board of directors, who are scheduled to meet on Friday to finalise its bid. NBCC has to submit its final bid by December 3.
A NBCC official said that the company already met all previous demands of lenders made in May this year, including the increase in land-debt swap deal to 1,426 acre from 950 acre.
CoC has also asked Suraksha to sweeten its deal in the form of more upfront payment, offering more money to homebuyers, etc. The Mumbai-based company will also submit its final bid on December 3.
During the deliberations, homebuyers raised their issues through their authorised representative.
Homebuyers said the resolution plan should include compensation for delay under RERA or NCDRC, no increase in super built-up area in order to extract more money unless carpet area increases and the penalty of Rs 5 per sq ft as per agreement with JIL.
Some homebuyers said that there should be an option with them to either opt for delivery of flat or refund, while a demand was also raised for conducting a forensic audit to trace the siphoned off money.