NOIDA: Yamuna Expressway Industrial Development Authority (YEIDA) has completed a survey to find out how much development work was carried out as part of Jaypee Sports City project before its land allotment was cancelled in 2020 over mounting dues.
The survey was carried out after a nod from the Allahabad high court on May 9. The court was hearing a petition by Jai Prakash Associates Ltd (JAL), which claimed it had spent a substantial amount of money on building boundary walls, roads and other basic amenities.
The survey, officials said, is aimed at assessing the extent of the development work carried out by JAL and align it with figures presented by the company in court. The Authority will have to submit its survey report before the next date of hearing on May 22. JAL will also have to ready its response by then.
The land allotment dates back to 2009-10, when JAL’s subsidiary company, Jaypee International Sports, was handed 1,000 hectares for the development of Sports City. The project included Buddh International Circuit, which hosted MotoGP Bharat last year, and 14 residential projects involving 9,000 homebuyers.
In Feb 2020, the Authority cancelled the land allotment for JAL, forcing the company to move the high court for relief. JAL not only offered to clear the dues, but also came up with a resolution plan for completing the residential projects.
But, there was a significant mismatch in the amount of dues quoted by the Authority and JAL. While the Authority claimed JAL owed it Rs 3,621 crore – including land premium, lease rent and additional farmer compensation – the developer maintained that the dues were much lower, Rs 1,483 crore.
JAL recently filed an affidavit in court, stating that when its land deed was cancelled, it had already constructed walls, roads and other basic infrastructure. It also alleged that work that was supposed to have been executed by the Authority was not yet done.
Following JAL’s affidavit, the Authority requested time for conducting a survey of the area that was leased out to it. The court allowed the Authority to carry out the survey and submit another affidavit in response to JAL’s claims by the next date of hearing.
Outside the hearing of the case, JAL had in Dec last year requested the Authority to reinstate the land and submitted its plan for clearing the dues. The dispute, however, was about the actual amount that needed to be paid.
Subsequently, the Authority extended an offer that it would reinstate land proportionate to an upfront payment of Rs 200 crore. The two parties are yet to reach a consensus on it.
