Buyers want Suraksha to provide `300 cr fund to start construction

New Delhi: Suraksha group, which has won the bid to acquire debt-laden Jaypee Infratech Ltd (JIL), should infuse Rs 300 crore interim funds to start construction of stalled projects as promised in its resolution plan, according to stuck homebuyers.

On Wednesday, financial creditors of JIL chose Mumbai-based Suraksha group over state-owned NBCC for taking over the insolvent firm, giving hopes that thousands of homebuyers may finally get possession of their flats after many years of delay.

The 10-day-long voting process on the takeover proposals submitted by NBCC and Suraksha group ended on Wednesday afternoon. In a tight finish, Suraksha group got 98.66 per cent votes compared to NBCC's 98.54 per cent. The deal will now have to be cleared by the NCLT.

This was the fourth round of bidding to find a buyer for JIL, which went into Corporate Insolvency Resolution Process (CIRP) in August 2017. Anuj Jain is the Interim Resolution Professional (IRP) of JIL.

In its final resolution plan to take over JIL, Suraksha group has made a provision for interim finance of Rs 300 crore at a coupon rate of 12 per cent from the CoC (Committee of Creditors) approval date till NCLT approval date. This amount is meant for construction of projects. Over 20,000 homebuyers are stuck in stalled projects of JIL in Noida and Greater Noida, Uttar Pradesh.

"Homebuyers read the bids properly and understood the challenges...Though it was SREI who assented for Suraksha and dissented for NBCC but even 7,796 homebuyers voted for Suraksha, unlike last time's 3,514. "Now we just pray for the smooth approval of plan in NCLT (National Company Law Tribunal) so that the construction starts with full swing," said Ashish Mohan Gupta, who owns a flat in Wish Point project in the Wish Town township.

Gupta, which also petitioned in NCLT, NCLAT and the Supreme Court against approval of the NBCC's resolution plan last year, said Suraksha group should provide interim finance with the approval of the CoC and IRP Anuj Jain.

However, Gupta said the interest rate of 12 per cent is high and asked Suraksha group to lower the rate to 8 per cent.

Another home buyer Sanjeev Sahani echoed the views, saying Suraksha group should provide interim funds for construction of projects.

Rashmi Singhal, a home buyer, said the resolution plan of Suraksha was better than that of NBCC. She also said the management of Suraksha regularly held webinars with homebuyers and incorporated many changes in its bid to protect the interest of homebuyers.