NCLT Orders Review of Jaypee Projects in Noida

• Independent review ordered for Jaypee Wish Town and other projects

• Around 17,000 homebuyers still awaiting possession

• Tribunal seeks detailed construction and compliance status report

Noida: National Company Law Tribunal (NCLT) has appointed two former members to independently review the construction status of residential projects developed by Jaypee Infratech Ltd (JIL).

The focus of the review will largely remain on the Wish Town township in Noida, where nearly 17,000 homebuyers have been waiting for possession of their flats for several years.

The order was passed by a bench led by Justice Ramalingam Sudhakar (President) and Ravindra Chaturvedi (Technical Member). The tribunal appointed former NCLT members PK Mohanty and Dr Deepti Mukesh to conduct an independent assessment of:

• The current stage of construction

• Compliance with the approved resolution plan

• Grievances raised by homebuyers

The bench noted that the decision was taken to address the “anguish of homebuyers” and ensure transparency during the implementation phase of the insolvency resolution process. All concerned parties have been directed to cooperate fully with the appointed members.

Insolvency proceedings against Jaypee Infratech were initiated in August 2017 by IDBI Bank under the Insolvency and Bankruptcy Code (IBC). After prolonged legal proceedings, the resolution plan submitted by Suraksha Group was approved by the NCLT on March 7, 2023. The plan aimed to:

• Complete stalled housing projects

• Settle outstanding debts

• Ensure fair treatment of stakeholders, including homebuyers

The resolution plan was later upheld by the National Company Law Appellate Tribunal (NCLAT) in May 2024.

Under the approved resolution framework, homebuyers — whose admitted claims amount to Rs 12,806 crore — were assured that all pending flats would be completed within four years. However, concerns have recently surfaced regarding the pace of construction and adherence to timelines.

The tribunal’s latest directive comes in response to these concerns and seeks a comprehensive status report to determine whether implementation aligns with the approved plan.

According to a JIL official, the company has already placed its construction progress on record before the tribunal. An affidavit submitted to the court states that:

• Around 6,500 homes are targeted for handover by March

• An additional 1,000 units are expected to be completed by the end of March

The matter has been listed for further hearing on April 1.

The intervention application was filed by the JIL Real Estate Allottees Welfare Society (JREAWS), led by its president Ashish Mohan Gupta. The association had moved the tribunal in December 2024, seeking stricter monitoring of plan implementation.

Gupta stated that the appointment of former tribunal members validates the concerns raised by homebuyers and reinforces the need for accountability and time-bound compliance. He emphasized that under the IBC framework, homebuyers are recognised stakeholders and their rights must be meaningfully protected during execution of the resolution plan.

For thousands of families awaiting possession in Noida, the independent assessment could prove crucial. The review is expected to bring clarity on construction timelines, ensure transparency, and restore confidence among homebuyers who have been waiting for years.

The tribunal’s move signals that while resolution plans may be approved on paper, their implementation remains equally critical — especially when thousands of homebuyers’ investments and future homes are at stake.