[Jaypee Infratech Resolution Plan] SC closes home buyers’ pleas after Suraksha Realty offers for allotment of homes or refund

Supreme Court: In a civil appeal in respect of denial of homebuyer’s right over the flat in ‘KOSMOS society’, to be developed by Corporate Debtor- Jaypee Infratech Ltd. (JIL), the Division Bench comprising of Sanjiv Khanna and Sanjay Kumar, JJ. disposed of appeals along with applications for impleadment, and other pending applications after noting Suraksha Realty Limited’s (resolution applicant) submission, that it re-examined the matter and the home buyers, about 538, who paid more than 80% of the demand, will be given the option for allotment of the flat/home within 30 days, in which event, the said home buyers will be treated on par with other claimants/home buyers. Further, in case any home buyer seeks refund of the amount as per the plan, the refund will be issued regardless of whether the claim was made or not.

The Court clarified that the present appellant, and other home buyers, who paid 80% or more of the demand, may simply write a letter to the resolution applicant, Suraksha Realty Limited, indicating the option exercised by them.

Homebuyers booked flats in ‘KOSMOS society’, to be developed by Corporate Debtor- JIL. The JIL went into Corporate Insolvency Resolution Process (‘CIRP’) under Insolvency and Bankruptcy Code, 2016 (‘IBC’). The Insolvency and Bankruptcy Board of India (‘IBBI’) vide order dated 22-08-2017 advised to incorporate and consider the claims of the homebuyers from the records of JIL, who did not file the claim form. Acting upon the said advice of IBBI and for the information of homebuyers, IRP incorporated flats of such homebuyers (including appellant) as liabilities in the information memorandum and mentioned that there was no separate requirement of any claim to be submitted by the appellant. Accordingly, the resolution plan was floated while considering and factoring in all liabilities.