Jaypee Infratech Undergoing Insolvency But ‘In Good Health’, Says Chairman Manoj Gaur
Embattled Jaypee Group Chairman Manoj Gaur on Thursday said realty arm Jaypee Infratech Ltd. is undergoing insolvency but "is in good health" and has posted a growth in revenue in 2018-19.
Company officials said the company has more assets than liabilities and hoped it will get the project to deliver nearly 20,000 flats, which have got delayed by several years leaving thousands of homebuyers in lurch.
Jaypee Infratech went into insolvency in August 2017 after the National Company Law Tribunal admitted an application filed by an IDBI Bank Ltd.-led consortium.
The group had to deliver 32,691 units to buyers under various housing projects in Noida, of which 4,889 units were completed before the start of insolvency proceedings. As many as 27,802 units remained incomplete by August 2017.
During the bankruptcy process, 7,278 units were completed, leaving 20,524 units to be delivered as on March 31, 2019 and latest 20,097 flats including 17,756 in Jaypee Wishtown remain to be delivered.
State-owned NBCC (India) Ltd. had made a proposal to take over the mammoth project instead of the bankrupt Jaypee group but the matter could not be resolved in the NCLT and the National Company Law Appellate Tribunal and has now reached the Supreme Court, which is due to hear the case on Oct. 17.
"During the year 2017-18, the gross revenue was Rs 62 crore which grew to Rs 1,292.99 crore in 2018-19," Gaur, executive chairman and chief executive officer of the group, said.
"The toll revenue has grown from Rs 626 crore to Rs 640 crore. During the last 24 months, 5,925 flats have been handed over. Jaypee homebuyers' interest and faith are visible from the fact that around 4,000 homebuyers have got their registries done, and nearly 3,000 have shifted here (Noida)," he told the Annual General Meeting, held at the Jaypee Institute of Information Technology in Sector 128 Noida.
"The company is doing better. The performance is such that the total cash inflow is over Rs 1,000 crore. While we are branded under the IBC, the health of the company is good. Even today, as per the group's proposal, within three years all houses will be handed over," Gaur said.
Company's Chief Financial Officer Pramod Agarwal said 20,097 flats are yet to be delivered which it can do within 36 months if given a chance by the Supreme Court, where the matter is being heard.
"We have total liabilities of Rs 9,783 crore while our assets, including the Yamuna Expressway and tranches of land along it, are well more than that. Assets estimated value would be more than Rs 13,000 crore," Agarwal told PTI.