NOIDA: The Yamuna Expressway Industrial Development Authority (YEIDA) has formed a four-member committee to oversee the completion of all pending housing projects of Jaypee Associates Limited (JAL) along Yamuna Expressway, bringing hope to around 4,600 stranded homebuyers.
The committee, formed on the orders of the Allahabad high court, comprises the principal secretary of industrial development, UP-Rera chairperson, YEIDA CEO, and a homebuyers’ representative.
Officials said that it would issue a request for proposal (RFP) within three months to select developers for completing the stalled projects. Homebuyers, they insisted, will receive their properties at the original prices without any additional cost.
“We have accepted the high court’s order and will follow the directives. Homebuyers will not have to pay any extra amount,” confirmed Arun Vir Singh, the YEIDA CEO.
The case traces its history to 2008, when YEIDA initially allotted JAL a total of 1,000 hectares under a special development zone policy to develop a sports-centric zone that included the Formula One Buddh International Circuit.
By Sept 4, 2017, JAL had claimed that it had invested Rs 2,500 crore in the project, which included constructing the race circuit.
YEIDA, however, alleged that Jaypee had failed to meet its obligations under the agreement, leading to a dispute. When the Authority proceeded with its plan to cancel the land allotment to JAL in Feb 2020, the construction company moved the high court. This was the start of the prolonged legal battle.
During the course of the hearing, YEIDA initiated a survey of the project and argued in court that despite claiming an investment of Rs 2,500 crore, JAL completed only 5.5% of the required development area, which caused the cancellation of their land allotment.
Most buyers, who booked their flats between 2011 and 2012 with possession promised from 2014, have already paid up to 95% of their flat costs.
The high court has set strict completion timelines — projects that are 75% complete must be finished within one year, 50% ready within 18 months, 25% within 30 months, and remaining developments in 36 months.
In order to protect the interests of the homebuyers, the period between Feb 2020 and the current judgment date of March 10 has been declared a ‘zero period’ — exempting them from interest payments or penalties. YEIDA will soon appoint a nodal officer to manage the outstanding payments and ensure adequate construction funds.
The affected projects that would be constructed by YEIDA include Jaypee Greens Bougainvilleas, Country Homes, Greencrest Homes, Krowns, Kove, Buddh Circuit Studios, Kassia, Sportsville, and Villa Expanza. The monitoring committee will also establish an exit policy for buyers seeking refunds.
