Jaypee Infratech acquisition: Suraksha objects to bid submission extension

Security services company Suraksha Group, which is in the race to acquire debt-ridden Jaypee Infratech Ltd (JIL), has written to financial creditors and raised an objection for the extension of deadline for bid submissions, according to sources. Suraksha Group and state-owned National Buildings Construction Corporation Ltd (NBCC) are competing to acquire JIL through insolvency and complete approximately 20,000 pending flats. Suraksha stated in a letter to JIL's Interim Resolution Professional (IRP) Anuj Jain and the members of the Committee of Creditors (CoC) that the extension is contrary to the spirit of the Supreme Court order issued in March this year on the pending insolvency matter of Jaypee group firm. The latest bids of NBCC and Suraksha group were discussed at the CoC's most recent meeting on May 15, which was attended by financial creditors including banks and homebuyers. According to sources, the IRP had asked the two parties to submit bids by Monday, May 17, and had stated that no extensions would be granted. However, eventually it granted a one-day extension from May 17 to May 18, said the source. According to sources, Suraksha argued in its letter that the extension goes against the spirit of the Supreme Court's March 24 directives. In its order, the Supreme Court directed that only bids from NBCC and the Suraksha group be solicited. It also ordered the insolvency process to be completed in 45 days, which expired on May 8, and the IRP has filed an application seeking an extension of the timeline for finding a new buyer for JIL. Image Source Also read: Jaypee Infratech acquisition: NBCC, Suraksha to submit revised bids Also read: NBCC increases land parcel to 1,903 acre for Jaypee Infratech acquisition