NCLAT quashes NCLT order directing return of land to Jaypee Infratech

Jaiprakash Associates was ordered to return 858 acres to Jaypee Infratech

The National Company Law Appellate Tribunal (NCLAT) on Thursday set aside a National Company Law Tribunal’s (NCLT) Allahabad Bench’s May 18, 2018, order, which had directed Jaiprakash Associates (JAL) to return a land bank of 858 acres to Jaypee Infratech (JIL). The land pool, which belonged to JIL, was pledged by JAL with various banks as collateral for the loans it took.

The NCLT Allahabad Bench had on May 18 last year set aside the deal and said the transaction was “fraudulent” and “undervalued”. It had then also asked the parent company JAL to release and discharge the interest created over