NCLT order on Jaypee land stayed by NCLAT
The National Company Law Appellate Tribunal stayed the NCLT order which had directed the realty firm to return nearly 760-acre land to its subsidiary Jaypee Infratech, a day ago. It has been a great relief to the Jaiprakash Associates. The petition filed by the three lenders - Axis Bank, Standard Chartered Bank and ICICI Bank were admitted by the appellate tribunal. It issued notices to the Resolution Professional (RP) of the Jaypee Infratech. Headed by Chairman Justice S J Mukhopadhyaya, the two member NCLAT bench spoke that the finding of NCLT that fraud has been committed on the mortgaged property by Jaiprakash Associates to the banks was not based on 'evidence' or 'in accordance with law'. They also added that NCLT is not a civil court...it has no right to declare an instrument illegal. NCLAT has posted the matter on July 13 for next hearing.
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