Noida: In the ongoing insolvency proceedings for debt-ridden Jaypee Infratech, the second bidder Suraksha Realty in its resolution proposal submitted to the Committee of Creditors (CoC) has offered land parcels worth Rs 7,857 crore to the financial creditors, sources privy with the development said.
As sources told CitySpidey, total repayment to the lenders offered by Suraksha is Rs 7,882 crore, against the Rs 9,782.60 crore claim of the lenders admitted into the insolvency proceedings.
The other contender NBCC (India), in its resolution plan has offered to pay the full amount of Rs 9,782.60 crore through transfer of land bank worth Rs 5,001 crore, transfer of the Yamuna Expressway and half of the profits generated from the sale of unclaimed real estate units among others.
Suraksha, in its resolution plan has assured an upfront payment of Rs 25 crore within 90 days of approval through infusion of funds through equity.
“The funds shall be transferred to the SPV (special purpose vehicle) which shall be further infused into the corporate debtor (JIL) for repayment of the debt,” its resolution plan said.
The resolution plan lays down several options of structure of the debt land swap, one of them being simple sub-lease or direct transfer of land as conveyance and another being full slump exchange structure.
As per the simple sub-lease method, Jaypee would directly transfer the land as conveyance. This option, however, is subject to conditions such as the Income Tax department granting waiver of tax to JIL and lenders agreeing to incur stamp duty and registration cost, as per the resolution plan.
In this way, the Suraksha's plan has laid down several options and procedures along with their respective conditions that come with them.
It also says that upon completion of the debt land swap, the institutional financial creditors shall withdraw all enforcement actions, notices under the Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act (SARFAESI), cases, FIRs and complaints against Jaypee Infratech in any court or government agency.
The CoC is likely to meet again on November 28. Both the companies submitted their bids on November 17, as the Supreme Court had on November 6 ordered the completion of the JIL insolvency resolution process within 90 days and said that only plans of the NBCC and Suraksha would be considered by the CoC for completing pending projects.
In its earlier offer for the bankrupt developer, the NBCC had offered to transfer JIL's unsold residential inventory to lenders at Rs 1,700 crore, and then revised it to Rs 1,300 crore.