Jaiprakash Associates falls 22% in two days; Jaypee Infratech down 5%

JP Associates has tanked 15% to Rs 15.90 in intra-day trade, extending its Monday's nearly 9% decline on BSE.

Shares of Jaypee Group companies were under pressure with Jaiprakash (JP) Associates down more than 20%, while Jaypee Infrastructure was locked in lower circuit of 5% for the second straight day.

JP Associates tanked 15% to Rs 15.90 on BSE in intra-day trade, extending its Monday’s nearly 9% decline after the Supreme Court directed the company to pay Rs 50 lakh to home buyers of Kalypso project.

"Hon’ble Supreme Court of India has directed Jaiprakash Associates to pay a sum of Rs 50 lakh within a period of four weeks hence, to respondent-Society, which shall distribute the same on equal measure amongst the flat buyers for payment purpose,” the company said in a BSE filing.

Jaypee Infratech was locked in lower circuit of 5% at Rs 13.25 on BSE with no buyers were seen on the counter. A combined 744,909 shares changed hands and there were pending sell orders for 624,887 shares changed hands on the counter on BSE and NSE till 10:40 AM.

In past two weeks, the stock was down 27% form Rs 18.25 on September 5, as compared to 1.7% rise in the S&P BSE Sensex.

According to Business Standard report, the Supreme Court on September 11 announced a series of steps in the Jaypee Infratech case to ensure homebuyers’ interests were protected without severely affecting the sanctity of the young insolvency law. CLICK HERE TO READ FULL REPORT.