National Buildings Construction Corp Submits Revised Plan To Complete Stalled Jaypee Projects To The Supreme Court

The National Buildings Construction Corporation (NBCC) has submitted a revised proposal to complete the stalled projects of Jaypee Infratech.

The proposal was later handed back to the NBCC counsel. The homebuyers' counsel urged the top court to share a copy of NBCC’s proposal with them.

Meanwhile, the Jaypee Group has moved the Supreme Court against the National Company Law Appellate Tribunal (NCLAT) order that barred its parent company Jaypee Associates from bidding for Jaypee Infratech (JIL). The realtor urged the SC to hear its plea seeking to consider its own proposal on the project.

The top court said it will hear the Jaypee Group plea on October 22, and extended the status quo on its insolvency proceedings till then.

On August 2, the Supreme Court had ordered a two-week status quo on Jaypee Group's plea against the NCLAT order after it was informed that Parliament had passed the proposed amendments to the Insolvency and Bankruptcy Code (IBC).

On July 30, the NCLAT had extended JIL's resolution process by 90 days, thereby allowing submission of fresh bids for the bankrupt realty company.

The tribunal said that the process of bidding and approval of a resolution plan by the committee of creditors (CoC) should conclude in 45 days.

The 90-day extension comes amid the lenders' request to exclude around 250 days, from September 17, 2018 to June 4, 2019, from the stipulated period for the insolvency resolution process, as during this period, no bid could be voted upon in view of the confusion regarding homebuyers' voting rights.

Under the IBC, the resolution process of a company is mandated to conclude within 270 days, failing which the company has to go for liquidation. The 270-day deadline for Jaypee Infratech ended on May 6.