Jaypee seeks employees' assistance to raise Rs. 2,000 crore

Jaiprakash Associates has asked its employees to assist the company in arranging Rs. 2,000 crore that the company is required to deposit with the Supreme Court in order to safeguard the interest of the aggrieved homebuyers.

An authorisation form has been issued by the company to the employees, seeking an approval to deduct their salary for the month of October which will be returned in nine equal installments starting January 2018. The employees are required to give their consent by November 18.

Before opting for this desperate measure the developer approached the Supreme Court seeking its permission to sell off the Yamuna Expressway to generate funds. By selling Yamuna Expressway the developer could generate over 2,500 crore. Unfortunately, the top court denied Jaypee to sell off Yamuna Expressway and offered an extension until November 5.

The company yet again failed to deposit the funds on a stipulated date by the court. The Supreme court has now directed all the non-institutional directors to be personally present in the court on the next hearing which is scheduled for 22 November. The court has also directed the directors to disclose their personal assets.

During the insolvency proceedings, the interim resolution professional (IRP) appointed in Jaypee Infratech has received around 18 expression of interests from the likes of steel, energy and cement conglomerate JSW Group, metals and commodities giant Vedanta, Mumbai-based builder Lodha Group, Deutsche Bank etc. to buy Jaypee Infratech to buy full or in part.