Share details of Expressway toll collection with bank: SC

New Delhi, Oct 23 (IANS) The Supreme Court on Monday asked Jaypee Associates to share with IDBI Bank and others the details of a proposal the company has received for “hiving off” toll collection on the Yamuna Expressway.

A bench of Chief Justice Dipak Misra, Justice A.M. Khanwilkar and Justice D.Y. Chandrachud asked Jaypee Associates to share details on toll collection at its six-lane, 165-km Expressway with the Insolvency and Bankruptcy Board of India (IBBI) and the Interim Resolution Professional (IRP) after the court was told that the firm had received a proposal of Rs 2,500 crore from a party whose identity was not disclosed.

Jaypee Associates sought the court’s nod as the company has to raise Rs 2,000 crore, as directed by the apex court on September 11, and deposit the money with the court registry in pursuance of an ongoing insolvency proceedings against the company’s sister concern Jaypee Infratech.

The court also asked Jaypee Associates to tell IDBI Bank and the Insolvency Board as to how it plans to refund the money of its buyers and investors.

The case is rooted in the plea of unsecured creditors, who are flat buyers, challenging an August 9 order of the Allahabad bench of the National Company Law Tribunal (NCLT) to appoint IRP on an IDBI plea for recovery of Rs 526 crore from the company.

On September 11, the Supreme Court had restrained the Managing Director and all directors of both the companies from leaving the country.

However, the court excluded the directors nominated by lender banks — IDBI, ICICI and the State Bank of India — from the orders that restrained their travel.

The court had appointed senior counsel Shekhar Naphade and advocate Shubhangi Tuli to represent the home buyers at meetings of Committee of Creditors that would consider the plan for restructuring of Jaypee Infratech by the Interim Resolution Professional appointed by the NCLT.

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