The Yamuna Expressway Industrial Development Authority (YEIDA) has formed a four-member committee to oversee the completion of all outstanding 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, includes the principal secretary of industrial development, the chairperson of UP-Rera, the CEO of YEIDA, and a representative from the homebuyers’ community.
Officials said that a request for proposal (RFP) will be issued within three months to select developers tasked for completing the delayed projects. They emphasized that homebuyers will receive their properties at the original prices, with no additional charges.
We have acknowledged the high court’s ruling and will adhere to its directives. Homebuyers will not incur any extra costs,” stated Arun Vir Singh, the CEO of YEIDA. The origins of the case date back to 2008, when YEIDA initially allocated 1,000 hectares to JAL under a special development zone policy for the creation of a sports-centric area, which included the Formula One Buddh International Circuit.
By September 4, 2017, JAL asserted that it had invested Rs 2,500 crore in the project, which encompassed the construction of the race circuit. However, YEIDA contended that Jaypee had not fulfilled its contractual obligations, resulting in a dispute. When the Authority moved forward with plans to revoke the land allotment to JAL in February 2020, the construction firm sought intervention from the high court. This marked the beginning of an extended legal conflict. Throughout the hearings, YEIDA conducted a survey of the project and argued in court that, despite JAL’s claims of a Rs 2,500 crore investment, only 5.5% of the necessary development area had been completed, which ultimately led to the cancellation of their land allotment.
The majority of purchasers who secured their apartments between 2011 and 2012, with the expectation of possession starting in 2014, have already settled up to 95% of the total cost of their flats. The high court has established stringent deadlines for project completion: developments that are 75% complete must be finished within one year, those that are 50% complete within 18 months, 25% complete within 30 months, and the remaining projects within 36 months.
To safeguard the interests of homebuyers, the timeframe from February 2020 to the current judgment date of March 10 has been designated as a ‘zero period,’ relieving them from any interest payments or penalties. YEIDA is set to appoint a nodal officer who will oversee the management of outstanding payments and ensure sufficient funding for construction. The projects affected and to be developed by YEIDA include Jaypee Greens Bougainvilleas, Country Homes, Greencrest Homes, Krowns, Kove, Buddh Circuit Studios, Kassia, Sportsville, and Villa Expanza. Additionally, the monitoring committee will formulate an exit policy for buyers who wish to request refunds.
