In a major relief to the home buyers of Jaypee Infratech, the National Company Law Tribunal (NCLT) on Tuesday gave approval to the resolution plan of the State-owned NBCC to complete the project of the debt-ridden real estate company.

The plan has been approved with certain modifications.

“These modifications will be clear once the details are out on Wednesday,” said Anuj V Jain, Interim Resolution Professional, Jaypee Infratech.

NCLT also pointed out that ₹750 crore, which was deposited by the promoter Jaiprakash Associates Ltd (JAL) in the Supreme Court, has to be used to complete the stuck projects of Jaypee Infratech.

Resolution plan successful

Last December, lenders and home buyers voted in favour of NBCC’s bid to acquire Jaypee Infratech. Around 97.36 per cent votes went in the favour of NBCC’s bid, making the resolution successful in the third attempt.

The other contender was Suraksha Realty, a Mumbai-based real estate firm.

There were 13 banks and more than 23,000 home buyers which had the voting rights in the Committee of Creditors (CoC), and it was decided by CoC that home buyers and lenders would vote on both the bids — NBCC and Suraksha Realty — simultaneously.

NBCC, which will develop the project in a phased manner, is expected to start the work from April 2020 as mentioned in its revised bids.

Once work commences, the State-owned firm will have to complete the project in 42 months.

Around 22,000 flats are to be built across various housing projects that were launched by Jaypee Infratech in Noida and Greater Noida.

In August 2017, Jaypee Infratech went into insolvency process after the NCLT admitted an application by an IDBI Bank-led consortium.