Jaypee buyers say give our flats first; hearing on Friday

NOIDA: Nearly 1,000 homebuyers representing various Wish Town projects of Jaypee group staged a demonstration at the sales and marketing office of the builder on Thursday, a day ahead of the next hearing in the Supreme Court in which the fate of at least 18,000 buyers could be decided. Even as Jaiprakash Industries faces a possible liquidation, the buyers demanded that they should first be given their houses before any financial liability of the company is disbursed with.

The company has been going under an insolvency resolution, initiated by IDBI for a debt of Rs 526 crore, at the NCLT for the past nine months. The collective debt to banks by Jaypee amounts to nearly 9,000 crore.

A resolution proposal by a Mumbai-based company, Lakshdweep Pvt Ltd, to infuse funds for debt repayment and project completion has been turned down because of lack of majority at a Supreme Court hearing on Wednesday. The next hearing in the case is on May 11.


Meanwhile, in a bid to retain buyer loyalty, Jaypee group has announced a sanction of 2,000 shares for each buyer whose apartments are pending for registration. These shares are to be transferred at the time of registration at nil consideration. The share value of Jaiprakash Associates at NSE closing on Thursday was marked at Rs 19 at market closing. This share disbursements is part of Jaiprakash Associates offer for disposing Rs 10,000 crore in case it is allowed by the SC to infuse funds to ease debts and liabilities of Jaiprakash Industries.