SC refuses to grant more time to Jaiprakash Associates for depositing Rs125 crore.

New Delhi: The Supreme Court on Thursday refused to grant extension of time to Jaiprakash Associates Ltd (JAL) to deposit Rs125 crore. The amount is to be deposited by the end of this month.

JAL was seeking time until 31 January to deposit Rs125 crore. As of now, the company’s liability is Rs1,525 crores.

“Comply with our order, we will hear you after winter vacation,” said Chief Justice Dipak Misra.

The court had in November directed the company to deposit Rs150 crore by 14 December and another Rs125 crore by the end of December.

On 22 November, the apex court restrained the independent directors and promoters of JAL (the parent company of Jaypee Infratech) and their family members from transferring any personal assets or property without the court’s permission in order to safeguard homebuyers’ interests.

On 4 September, the apex court had stayed an order passed in August by the Allahabad bench of the National Company Law Tribunal (NCLT), which initiated insolvency proceedings against Jaypee Infratech. A day later, IDBI Bank approached the court seeking restoration of insolvency proceedings against Jaypee Infratech.

The court was hearing a public interest litigation (PIL) by Delhi resident Chitra Sharma, who has booked a home in a Jaypee Infratech project.

Homebuyers in Jaypee Infratech projects were required to fill up forms to register claims in the corporate insolvency resolution process against the firm by 31 August.

Source: Livemint    

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