Business

Jaypee to handover Yamuna Expressway for Rs 25k cr ?

Real Estate major Jaypee has told the Supreme Court that it has been offered Rs 2500 crores for handing over Yamuna Expressway. The move is aimed at company laying hand on cash to be able to pay up more than 30,000 people to whom it has not been able to deliver the apartments it owes. It may be recalled that Jaypee has been asked to deposit 2,000 crores by the 27th of this month with the Supreme Court so that flat-owners can be refunded. 40 who bought flats at a Jaypee project in Uttar Pradesh have challenged the bankruptcy law introduced last year claiming that it gives banks that lend to property developers unfair priority, and fails to safeguard homebuyers.

Banks have asked for Jaypee Infratech to be declared bankrupt on account of unpaid loans worth about 500 crores. Once a company declares itself bankrupt, buyers are unlikely to get either their promised apartments or have investments returned. From the mid-2000s onwards, lakhs of middle-class Indians, eager to own their own homes, poured cash into new building projects on the outskirts of major cities as a property boom took hold. But many major residential property projects in India have been held up as real estate companies put the cash invested by homebuyers to uses other than completing existing projects, leaving consumers who poured in their money stranded.

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Jaypee to handover Yamuna Expressway for Rs 25k cr ?
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