Jaypee Infratech Ltd. Vs Jaiprakash Associates Ltd. (NCLAT Delhi)
Conclusion: Since JIL had already received the entire principal amount determined as its entitlement, and neither the interim nor the final orders of this Tribunal conferred any right to claim interest for the period preceding actual disbursement; since all accrued interest on the ₹750-crore deposit lawfully belonged to JAL and no specific direction for payment of interest to JIL was ever issued, the claim lacked legal foundation. Accordingly, the application stood dismissed with no further relief.
Held: JIL sought directions for release of ₹15.15 crore as interest allegedly accruing on sums determined as payable to it out of the ₹750 crore deposit made by JAL pursuant to Supreme Court orders in Chitra Sharma. JIL contended that, pursuant to the NCLT order dated 07.03.2023 and the NCLAT interim order dated 16.03.2023 directing release of ₹265.21 crore, it became entitled to interest for the period until actual disbursement; similarly, interest was claimed for the period between the final NCLAT order dated 28.08.2023 and the eventual release of the remaining amount in February 2024. Respondents (NCLT Registry and JAL) argued that the entire sum, including all accrued interest on the ₹750 crore fixed deposit, constituted the asset of JAL as held by the NCLAT, and JIL had already received its full principal entitlement without any direction for payment of interest. It was held that neither the interim order nor the final judgment fixed any timeline for disbursement or granted any right to interest to JIL in the event of delay. NCLAT had already categorically held that interest accrued on the ₹750 crore belonged solely to JAL, and JIL’s entitlement was restricted to the principal sum determined. Since JIL had received its complete entitlement and no legal basis existed for the claimed interest, the application was dismissed.
