NCLAT refuses to stay voting by Jaypee Infratech creditors' panel

The NCLAT Tuesday refused to stay voting by the creditors' panel of Jaypee Infratech on the revised offer of state-owned NBCC Ltd to acquire the debt-laden realty firm through insolvency proceedings.

Soon after a Committee of Creditors (CoC) decided to put for vote NBCC's bid, banks sought a stay on the voting process.

Refusing to entertain the plea by banks, a two-member NCLAT bench headed by Chairman Justice S J Mukhopadhaya also warned banks that they would get "zero rupees" if the process is stalled.

Justice Mukhopadhaya said the interest of thousands of home-buyers was of prime importance and the matter needed to be resolved even if there is just one bidder.

The banks made the plea before the bench which was to take up the matter of an appeal against an NCLT order that directed Jaiprakash Associates Ltd (JAL) to return nearly 760-acre land to its subsidiary Jaypee Infratech.

Jaypee Infratech's interim resolution professional (IRP) Anuj Jain had filed a petition in the National Company Law Tribunal (NCLT) seeking direction over transactions entered by the company's promoters, creating the mortgage on its 858 acres to secure debt for JAL.