In a blow to the Jaypee Group, the Supreme Court recently order completion of the corporate insolvency resolution process in 90 days for Jaypee Infratech Ltd and also said that the revised resolution plan will be invited only from NBCC, a state-owned construction company and the Suraksha Realty.
The apex court said that the delay of any other petition before the NCLT or NCLAT, that includes any interim direction, must not be impediment for the IRP for receival and process of the revised resolution plan from the two bidders.
A bench of justices A M Khanwilkar and Dinesh Maheshwari said that they are passing orders in an exceptional situation to offer justice to the home buyers, Jaypee group and the concerned banks.
The bend of two judges said, We direct the IRP to complete the CIRP within 90 days from today. In the first 45 days, it will be open to the IRP to invite revised resolution plan only from Suraksha Realty and NBCC respectively, which were final bidders and had submitted resolution plan on earlier occasion and place the revised plan(s) before the Committee of Creditors (CoC), if so required, after negotiations and submit report to adjudicating authority NCLT within such time.
The highest court also said that in the second phase of 45 days starting from 21st December 2019, margin is offered to evict any difficulty and to pass appropriate orders thereon by the adjudicating authority. The bench gave directives on the plea by Jaypee Group against the NCLAT verdict that restricted them from participating in the auction of its debt-ridden group firm JIL.
Earlier on 30th July, the National Company Law Appellate Tribunal (NCLAT) had allowed fresh bidding for the cash-strapped JIL but refrained its promoter Jaypee Group from participating in the auction.
In the last month, NBCC i.e. the National Buildings Construction Corporation submitted a revised proposal for the completion of Jaypee’s stalled projects.