Noida: Jaypee Wish Town buyers left in lurch as construction gets stalled – ET RealEstate

NOIDA: Thousands of Jaypee Wish Town homebuyers are at their wits’ end as no construction work has taken place at the project site in the past 5-6 months.

This, despite the National Company Law Appellate Tribunal (NCLAT) giving conditional approval to the state-owned NBCC to complete the pending 20,000 Wish Town flats in April. A hearing at the Supreme Court is awaited on August 6 and another by NCLAT later this month.

On its part, NBCC claims it can only start construction at the site after completing the backend work required for the takeover of the project. NBCC had moved the appellate court against NCLT’s March 3 order because of some financial responsibilities transferred to it by the insolvency court that included additional farmers’ compensation and payoff to fixed deposit holders with bankrupt developer Jaypee Infratech Limited (JIL).

“Not a single brick has been laid at the Wish Town site since the NCLT order in March. This is a matter of concern as it seems deadlines have now been pushed very far,” Jaishree Swaminathan, a buyer, said. NCLT had in March approved NBCC’s resolution plan for Jaypee Wish Town.

Wish Town homebuyers claim that the interim monitoring committee set up by the NCLAT to supervise the day-today operation of JIL has also become incommunicado. “Buyers are trying to call the interim resolution committee. Some buyers have also been visiting its office, but most of them have not got any satisfactory answer from the officers at the helm,” Swaminathan said.

AM Gupta, another buyer at Wish Town, added, “We have records showing that the buyers are not being able to reach out to the offices of the interim resolution committee. Construction has come to a standstill but at least buyers should be able to speak to those in office.”

When contacted, PK Gupta, CMD of NBCC, said, “We will revert.”

The Wish Town project has been under the supervision of the interim monitoring committee since April 23. The committee members include the NBCC, former interim resolution professional Anuj Jain, and other stakeholders — IIFCL, LIC, and IDBI.



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Ask NBCC to start work on Wish Town project: Buyers to SC – ET RealEstate

NOIDA: A group of Wish Town buyers urged the Supreme Court on Wednesday to direct the National Company Law Appellate Tribunal (NCLAT) to persuade state-run NBCC to immediately start construction in the Wish Town project and complete around 20,000 pending flats at the earliest.

The court has issued notices to the NBCC and other stakeholders in the project, seeking their responses.

The next date of hearing is on August 6.

According to buyers, there is a complete standstill at the project site. “Buyers are completely frustrated with the non-action by NBCC. Even after the conditional nod by NCLAT, the state-run construction company is yet to start work. Now that the Supreme Court will start hearing the case again, it could take a long time for a decision to arrive. So, we are simply losing time,” said Jaishree Swaminathan, a Wish Town buyer.

After prolonged insolvency proceedings of Wish Town, the NCLT had given the construction rights for the pending flats to the NBCC, but the company moved the NCLAT, the appellate body, against the NCLT, claiming their resolution agreement was dishonoured with the addition of extra financial liabilities.

The project has been under the supervision of an interim monitoring committee since April 23.



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About 3,500 Lotus Panache & Boulevard buyers vote to select firm for completing flats – ET RealEstate

NOIDA: Around 3,500 buyers of Lotus Panache and Lotus Boulevard — two projects of Granite Gate, which is facing insolvency proceedings —on Sunday started the voting process to select an agency for completing the flats.

Chandra Prakash, the interim resolution professional appointed by NCLT, had on July 6 shortlisted three developers — SMV-Jaipuria, Purvanchal and UVARC — after their applications were examined by the committee of creditors.

According to preliminary scores awarded by the committee against 100, Jaipuria bagged 61, UVARC 46 and Purvanchal 19. Some of the conditions that were weighed include upfront cash infusion, completion deadline, additional charges, delayed compensation and so on.

SMV-Jaipuria, despite having the lowest net worth of the three developers, scored the highest for promising a delayed penalty should they overshoot the completion deadline, not charge anything beyond the builder-buyer agreement and promising a 90% payback recovered from an avoidance application as demanded by the IRP from proceeds of undervalued properties.

“The voting process has begun and we expect the results soon. Things are slowly falling into place for buyers who have been waiting for their flats for years,” said Sahil Sethi, a lawyer representing a group of buyers.

The voting process, which started at 5pm on Sunday, will continue for 72 hours. At least 50% of the buyers’ votes would be considered for selecting the final agency.

“We held a two-hour discussion with the buyers on our Facebook group and discussed each company in detail. At this point, we are more concerned with the completion deadline than anything else,” said Amit Chauhan, president of the Lotus Panache Welfare Association.

Of the 4,200 total flats in Lotus Panache, only 1,200 have been delivered so far. Lotus Boulevard has 3,500 flats across 30 towers, of which 500 flats in three towers are left to be delivered. Only buyers whose flats are incomplete are participating in the voting process.



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