Renaissance Realty Vs Resolution Professional of Corporate Debtor Jai Prakash Associates Limited (NCLT Allahabad)
The present application was filed by the applicant under Section 60(5) of the Insolvency and Bankruptcy Code, 2016 seeking directions against the Resolution Professional of the corporate debtor for handing over possession and execution of a sub-lease deed in respect of a residential unit in the project “Jaypee Greens Kalypso Court (Phase-II).” The applicant had booked the unit and paid a substantial amount. As per the provisional allotment letter dated 18.10.2012, possession was to be delivered within 36 months, i.e., by 18.12.2015. Due to failure in delivery, the applicant approached the Uttar Pradesh Real Estate Regulatory Authority, which, by order dated 06.10.2020, directed the corporate debtor to hand over possession along with occupancy/completion certificates and to pay delayed interest. The order further allowed the applicant to seek refund with interest if possession was not delivered by September 2021.
Despite the order, possession and interest were not provided, leading to recovery proceedings. A recovery certificate dated 01.03.2024 was issued for delay interest of approximately Rs. 2.35 crore. Subsequently, the High Court directed expeditious execution of the recovery certificate, resulting in recovery of Rs. 1 crore, which was transferred to the applicant. Meanwhile, the corporate debtor initiated appellate proceedings, which remained unadmitted due to non-compliance with statutory pre-deposit requirements.
