How can Jaypee be listed for insolvency when buyers are still waiting for flats?

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How can Jaypee be listed for insolvency when buyers are still waiting for flats?

The buyers have staged a protest outside the Jaypee office in Sector 128, demanding a refund of their money.

How can Jaypee be listed for insolvency when buyers are still waiting for flats?

Jaypee, which started a project of 35,000 units in 2009, has been able to deliver possession of only 5,000 in eight years. And now it has been listed for an insolvency hearing at the Allahabad bench of the National Company Law Tribunal (NCLT). Little wonder, then, that the buyers have staged a protest outside the Jaypee office in Sector 128, demanding a refund of their money.

The protesters have stated that none of the officials from the developer’s end have met them.  Since the buyers who are yet to get possession are living in rented homes and paying hefty EMIs, they have enough reason to panic in this situation.

The buyers have also started a social media campaign on the microblogging site Twitter, with the hashtag Jaypeescam. The Wishtown buyers have stated that they may organise a series of protests to direct the attention of the government to their issue.

Buyers say that the builder was supposed to deliver their flats in 2011-12. “We have given about 80 to 90 per cent of the flat’s cost, and are still living in rented accommodations and paying EMIs,” said one buyer, who along with others, had booked his flat in 2008.

Pramod Singh, another buyer, told City Spidey that they will again conduct a protest outside the Jaypee office. Ajay Koul, yet another buyer, complained that the officials of the developer did not answer their queries. “We have collectively paid the developer Rs 20,000 crore to Rs 25,000 crore. Yet he has no money, which is very questionable,” he added.

Koul also said that while NCLT thought about the bankers, it did not think about the buyers, who have invested all their savings into the projects. There is no clause or law in NCLT for the buyers to oppose this decision.

Buyers also said that the authority had conducted a triparty meeting, but it was only an eyewash for the buyers. The Noida Authority, incidentally, is silent on the issue.