Jaypee may lose Formula One land if it doesn’t clear Rs 108 crores in dues: Yamuna Expressway Authority

Debt-laden Jaypee Group may lose the land allotted for its Formula One Buddh International Circuit, if it fails to clear dues of Rs 108 crores by the end of 2018

Crisis-hit Jaypee Group will have to clear dues of Rs 108 crores by the end of 2018, or otherwise, it may lose the land allotted for its Formula One Buddh International Circuit and Jaypee Sports City, Yamuna Expressway Industrial Development Authority (YEIDA) officials said. The board has decided to grant the Jaypee Group, which was supposed to make the payment by September 2018, a final one month’s time to clear their debts, or face coercive actions, including cancellation of land allotment, a senior official said.

“Jaypee Group owes Rs 108 crores to the Authority, against 1,000 hectares of land allotted for constructing the Formula One circuit and the Jaypee Sports City. The Authority had relieved the builder and made re-schedulement of the amount but the builder failed to pay instalments. We have given a final one month’s time to clear debts, or we will initiate strict actions against them,” YEIDA chairman Prabhat Kumar said.

See also: SC asks Allahabad NCLT to deal with insolvency proceedings against Jaypee Group

The Jaypee Group’s two holding companies, Jaiprakash Associates Ltd and Jaypee Infratech Ltd, are facing insolvency proceedings.

The Authority has also decided not to hike toll tax prices on the 165-km-long Yamuna Expressway, the officials said during YEIDA’s 64th board meeting, held on November 27, 2018, in Greater Noida. The Authority has also given a nod for opening seven filling stations and 12 hotels along the Expressway, in Sector 18, 20 and 29. The villages in the area will get 377 hand pumps and also get 180 sanitation workers, up from 80 at present, YEIDA CEO Arunvir Singh said.

On the upcoming Jewar International Airport, the chairman said basic formalities have been completed by the government and the remaining are near completion. Kumar said the bid document for the airport has been approved by Project Monitoring and Implementation Committee (PMIC) and would now be sent to the state cabinet.


Was this article useful?
  • 😃 (0)
  • 😐 (0)
  • 😔 (0)