Jaypee Group has said that there is no wrong doing on the unencumbered land of the group in favor of mother company Jaiprakash Associates (JAL).  The company said it was “fully committed” to deliver flats to home buyers when asked about it. (JAL) is only providing support to the (JIL) Jaypee Infratech only a charge was created on the Jaypee Infratech’s land in favor of JAL’s lenders, which included lenders of Jaypee Infratech as well.

According to CEO Manoj Gaur transactions are as per the provisions contained under the applicable statute,” of Jaypee Group. Last week, the insolvency resolution professional appointed for Jaypee Infratech had moved the National Company Law Tribunal alleging irregularities in the mortgage of an 858-acre land to secure bank loans of Jaypee Associates and both the companies have several common lenders, IDBI Bank, ICICI Bank and State Bank of India.

As per Gaur statement he refused such allegation stating that transactions were done transparently as per the instructions of the banks and valuation under taken by the bankers were in bono fide intention. Gaur said, “JAL is fully committed to deliver homes to home buyers. In fact, even during the pendency of insolvency proceedings of Jaypee Infratech, JAL as a contractor, continues the construction of homes and has offered possession of over 1,500 homes between August 2017 and January 2018,” he said, adding that Jaypee Infratech had already given a detailed plan under RERA for completion of homes and over 4,000 units would be offered for possession by March 2018. The reason for lack liquidity fund was the fall in the Real State sector, otherwise selling land was the first option instead of selling plants of the group. Further he said that group had got out of several businesses to repay debt to lenders.