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Applications have been invited from corporate entities for submission of resolution plan for the debt-laden Jaypee Infratech under the insolvency law, according to a public notice. The National Company Law Tribunal (NCLT) has admitted the application by an IDBI Bank-led consortium seeking resolution for Jaypee Infratech under the Insolvency and Bankruptcy Code. Moving ahead with the process, the NCLT-appointed insolvency resolution professional (IRP) Anuj Jain has sought applications from entities with regard to Jaypee Infratech. "Expressions of interest (EoI) are invited for the parties interested in submitting a plan for resolution of Jaypee Infratech...," Jain said in the notice. The last date for submitting EoI is November 7. Body corporates having minimum net worth of Rs 1,000 crore as well as investment companies and fund houses with minimum assets under management of at least Rs 1,000 crore will be eligible to put in their applications. Net worth, the total of share capital and free reserves, as on March 31, 2017, will be considered while deciding the eligibility of the applicants. Listing out the eligibility criteria, the IRP said the parties interested will have to satisfy the mandatory requirements of the resolution plan provided in the IBC and its regulations. They should have the ability to execute real estate projects either directly or through joint ventures, contractors and the like through a resolution plan to be sanctioned under the IBC. The corporate entities should be of good financial health and repute as well as have the ability to invest Rs 2,000 crore or more to complete the construction of flats. Interested parties should protect the interest of homebuyers generally and in particular by timely construction and possession of flats. Jaypee Infratech, part of the debt-ridden Jaypee group, has defaulted on Rs 526.11 crore outstanding loan to IDBI. The company, which is into road construction and real estate business, has constructed the Yamuna Expressway, connecting Delhi and Agra.
The company is developing more than 30,000 flats in Noida, most of which are incomplete. Homebuyers have been protesting against significant delays in completion of the projects. Earlier this week, the Supreme Court refused permission to Jaiprakash Associates Ltd to hive off the rights of multi- crore six-lane Yamuna Expressway. The apex court, however, extended the time from October 27 to November 5 for the company to deposit Rs 2,000 crore.