Move comes amid insolvency plea: To reassure investors, Amrapali top brass submit passports to district admin
Less than 10 days ago, Corporation Bank, another financier to the Amrapali Group, had announced the auction of the group’s IT office in Noida Sector 62 in a bid to recover a loan worth Rs 9.10 crore for the construction of that property. Less than 10 days ago, Corporation Bank, another financier to the Amrapali Group, had announced the auction of the group’s IT office in Noida Sector 62 in a bid to recover a loan worth Rs 9.10 crore for the construction of that property.
With the Allahabad bench of the National Company Law Tribunal (NCLT) admitting IDBI Bank’s insolvency petition against Jaypee Infratech, fear among home investors continues to escalate, even as the top management of another builder group, Amrapali, submitted their passports to the district administration in an effort to assure buyers that they will not escape abroad.
On Sunday, three directors of the Amrapali group — Anil Kumar Sharma, Ajay Kumar and Shiv Priya — handed their passports to Gautam Buddha Nagar District Magistrate B N Singh. The move comes after a primary creditor to the company, Bank of Baroda, approached the NCLT with an insolvency plea against the builder over defaulting on loans.
“After what happened with Jaypee group, we were expecting other builders to follow suit and this has started happening. We need the chief minister to intervene in the matter. There is complete lack of trust among home buyers who have invested their life’s savings on these projects. They have been waiting for years to own a flat in Delhi-NCR and the builders have only played with their trust. No assurance given by them is enough to dissipate fear among home buyers. Strict action is required,” said Annu Khan from NEFOMA, a home investor group.
Meanwhile, Amrapali group, in their eight-page letter submitted to the district administration, maintained that they will work on the projects and deliver flats. Stating that there was “no need for panic and worry”, the letter read, “We aim to remove fear in public that we will run away from India, leaving investors high and dry. Hence, we’re providing you passport details of the three directors, and we’ll not proceed to go out of the country without informing you.”
Less than 10 days ago, Corporation Bank, another financier to the Amrapali Group, had announced the auction of the group’s IT office in Noida Sector 62 in a bid to recover a loan worth Rs 9.10 crore for the construction of that property. In July this year, Amrapali builder’s CEO (health) Ritik Kumar Sinha and director Nishant Mukul were arrested over charges of fraud.
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