Jaypee Infratech gets Yamuna authority notice over Rs 900 crore dues
YEIDA officials said the Jaypee Group needs to pay Rs 900 crore principal amount for 1,000 acres of residential land in Sector 25 and land allotted for the Sports City project which is to come up along 165km Yamuna ExpresswayUpdated: Mar 29, 2017 10:02 IST
The Yamuna Expressway Industrial Development Authority (YEIDA) on Tuesday said it has issued a notice to realty firm — Jaypee Infratech— for failing to clear Rs 900 crore in land dues.
The YEIDA has been facing a financial crisis because major realtors are not clearing their land dues. The authority has a debt of around Rs 3,000 crore, which it has borrowed from leading banks and the Noida authority.
Earlier, YEIDA had also issued similar notices to 20 other realtors who cumulatively owe around Rs 700 crore in land dues.
YEIDA officials said the Jaypee Group needs to pay Rs 900 crore principal amount for 1,000 acres of residential land in Sector 25 and land allotted for the Sports City project which is to come up along 165km Yamuna Expressway. The 1,000 acres in Sector 25 is located near its Buddh International Circuit (BIC).
“We had to issue a final notice because the Jaypee Group has not paid Rs 900 crore principal amount for the residential land. If they fail to clear the dues in the next 15 days, we will cancel the 1,000 acres land allotment,” said Arun Vir Singh, chief executive officer of the YEIDA.
According to officials, the Jaypee Group also failed to pay Rs 1,200 crore that it needs to pay towards the enhanced 64% compensation to be paid to farmers.
“We had last issued a notice to Jaypee Group in August 2016. But it refused to pay 64% hiked land compensation to farmers and filed a plea in the Allahabad high court against it. The high court ordered that this 64% hiked compensation issue should be resolved through arbitration. Since that issue is yet to be resolved through arbitration, we are asking the realtor to clear the principal amount of Rs 900 crore,” Singh said.
The Jaypee Group management refused comment on the issue. Ashok Khera, vice-president of Jaypee Group said, “I do not want to comment on the issue.”