NCLAT: Resolve Jaypee Infratech issues by Mid-April

08 Mar 2024 CW Team

The insolvency appellate tribunal, NCLAT, issued an ultimatum stating that if the issues between Yamuna Expressway Industrial Development Authority (YEIDA) and the Suraksha group regarding Jaypee Infratech are not resolved by the second week of April, they would proceed ahead. In March of the previous year, the National Company Law Tribunal (NCLT) approved the resolution plan of the Suraksha group, but progress has been slow as YEIDA and Jaiprakash Associates challenged the approval by filing petitions before the National Company Law Appellate Tribunal (NCLAT).

Jaiprakash Associates, the original promoter of Jaypee Infratech, initiated the insolvency resolution process in 2017.

During the hearing on February 19, YEIDA stated that the proposal from the Suraksha group had been presented to the Uttar Pradesh Government and was currently under consideration. However, in the proceedings on Wednesday, YEIDA's counsel conveyed that the proposal submitted by the Successful Resolution Applicant (SRA), Suraksha group, was still under consideration by the State Government, and no final decision had been reached.

The counsel also mentioned that a final decision should be reached within a short period. Furthermore, he suggested that NCLAT could proceed with the appeal after the second week of April, by which time all issues between YEIDA and SRA should be resolved. If the issues are not settled by that time, the appeal should be heard on merit on the next date.

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