Homebuyers Protest Delay in Jaypee Infratech Projects

New Delhi, Apr 10 (PTI) Hundreds of homebuyers on Thursday protested against the inordinate delay in the construction of units under Jaypee Infratech's housing projects in Noida, despite the completion of the insolvency resolution process nearly a year ago.

Agitated homebuyers staged a protest, shouted slogans and breached barricades near the Jaypee Infratech's office in Sector 128, Noida (Uttar Pradesh), resulting in police intervention to manage the crowd.

This is the latest standoff between the homebuyers and the management concerned over the long-delayed residential projects, which were launched in 2010-11, and the units were to be delivered by 2014-15.

After a protracted legal battle, debt-ridden Jaypee Infratech Ltd (JIL) was taken over by the Mumbai-based Suraksha Group in June last year through an insolvency resolution process, and at that time, it was promised that around 20,000 houses would be completed in four years.

However, the brewing discontent of the homebuyers, protesting under the banner of JIL Real Estate Allottees Welfare Society (JREAWS), over the slow progress in the construction work, spilled over into the streets of Noida on Thursday.

In a statement, JREAWS said the homebuyers met the company's CEO in the presence of the police force.

"Due to restricted access at the main gate of the Sector 128 office, we were compelled to force entry onto the premises... upon reaching the Suraksha office, junior staff members attempted to engage with us; however, our primary intent was to meet the CEO Abhijit Gohil.

"Local police were already on-site, and with the arrival of the SHO (Station House Officer), we were eventually able to have our discussion with the CEO in his presence," the association claimed.

The association said it has conveyed all their concerns and both sides have mutually agreed to convene a follow-up meeting on April 19 to review the construction progress of all projects and towers in detail.

Going forward, there will be monthly meetings to review the status of the construction works. JREAWS President Ashish Mohan Gupta will coordinate and moderate these sessions between the homebuyers and the CEO, according to a statement.

There was no immediate comment from JIL, which is now owned by the Suraksha Group.

The association also alleged that the Suraksha Group has failed to demonstrate a sincere commitment to begin full-scale construction works for the projects.

"The resolution plan mandated 12,000 labourers to meet construction deadlines. Presently, only around 2,000 workers are deployed across 150 towers, leading to a near standstill," the statement added.

In June last year, Mumbai-based Suraksha Group took control of bankrupt JIL soon after insolvency appellate tribunal NCLAT upheld Suraksha Group's bid to acquire the company.

Suraksha Group will require Rs 6,500-7,000 crore investments to complete nearly 160 residential towers across various projects.