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Jaypee Greens Wishtown, Noida

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Jaypee Greens Wishtown, Noida

Last updated: 1 week ago
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  • Re : Jaypee Greens Wishtown, Noida

    Nirman Sadan has NOT been taken over - misquote after misquote. It is an old story that it was going on the block a long time back.

    Haha - if they effectively want to service/repay the bank loans and bank are prodding/pushing them on - it is a bankrupt company.

    Wow - genius? If I take a loan and am unable to service it for a few months because of a cash flow situation - I am bankrupt. Aap mahaan ho dost.

    Unitech is not selling UGCC land, banks have declared them NPAs even so.. So they are now effectively bankrupt right??

    What an amazing anology.

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    • Re : Jaypee Greens Wishtown, Noida

      Originally posted by Bharatiya View Post
      ICICI Bank did seize 5 Acre of JP Land in WT. Any unsold and unallotted land can be seized by Banks.
      Technically sold and alloted land can also be seized by banks if they have a lien on it that was created before it was sold and alloted, though it will be a messy legal fight and they will only do this as a last resort.

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      • Re : Jaypee Greens Wishtown, Noida

        Of course WT is saleable asset. But there are many obstacles if it comes down to that.

        First of all, all parties must come to an agreement for sale to go ahead (parties include JP management, JP's Partners, JP's creditor banks, End consumer/Owners of WT Projects (Apartments and plot owners), Noida Authority etc etc etc

        Secondly, price determination of assets will be a challenge In context that WT is not fully developed and present market conditions. Liabilities and interests of multiple parties are interlocked in WT.

        Its in Banks best interest to NOT interfere with WT. Better force JP to collaborate or sell stake to another developer who is in good financial condition and who can help JP finish the completion of WT and utilize unused land.

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        • Re : Jaypee Greens Wishtown, Noida

          Originally posted by jollygood View Post
          @pkgandhi This double financing is pretty normal. The banks money is secured as they have a lien on the money coming in from the buyers. But many builders diverted the money from land purchases, so the banks have created project specific escrow accounts. If done in the right way it is a good idea as it provides leverage to the builder and the bank is assured of the money coming in from the apartment sales. The bank only needs to ensure that the full loan is paid off by the time the apt is ready for delivery.
          This has clearly not been done in the right way and if I were in charge I would have the practice discontinued. Some leverage is good, but this is unhealthy.

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          • Re : Jaypee Greens Wishtown, Noida

            Originally posted by dineshsays View Post
            Nirman Sadan has NOT been taken over - misquote after misquote. It is an old story that it was going on the block a long time back.

            Haha - if they effectively want to service/repay the bank loans and bank are prodding/pushing them on - it is a bankrupt company.

            Wow - genius? If I take a loan and am unable to service it for a few months because of a cash flow situation - I am bankrupt. Aap mahaan ho dost.

            Unitech is not selling UGCC land, banks have declared them NPAs even so.. So they are now effectively bankrupt right??

            What an amazing anology.
            Like I said, bankruptcy laws in India are messy, but yes Unitech is effectively insolvent ( though not technically bankrupt, since they have not filed for bankruptcy yet).

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            • Re : Jaypee Greens Wishtown, Noida

              Originally posted by pkgandhi View Post
              Like I said, bankruptcy laws in India are messy, but yes Unitech is effectively insolvent ( though not technically bankrupt, since they have not filed for bankruptcy yet).
              So if they now sell UGCC land and some other land they have, repay their loans - they become solvent again?

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              • Re : Jaypee Greens Wishtown, Noida

                Originally posted by pkgandhi View Post
                Technically sold and alloted land can also be seized by banks if they have a lien on it that was created before it was sold and alloted, though it will be a messy legal fight and they will only do this as a last resort.
                That's too far fetched.

                Even considering it in a hypothetical scenario. Such seizure of sold and allotted private property can only be done by obtaining some consensus with State (UP Govt, Noida authority). And State Govt will never allow that to happen.

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                • Re : Jaypee Greens Wishtown, Noida

                  Not really, a builder buys land, pledges it to bank to get working capital loan that will be serviced by receivables. Both the land and receivables are in control of the bank. Since the land is on lien it cannot be pledged elsewhere, there is no risk unless the banks collude with the builder and sanction more money by re-evaluating the land price and allowing him to divert money. This is not a problem with the practice but loose regulations

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                  • Re : Jaypee Greens Wishtown, Noida

                    Originally posted by Bharatiya View Post
                    That's too far fetched.

                    Even considering it in a hypothetical scenario. Such seizure of sold and allotted private property can only be done by obtaining some consensus with State (UP Govt, Noida authority). And State Govt will never allow that to happen.
                    This is neither far fetched nor hypothetical. This is how JP and other builders have financed land and then sold off projects without clearing liens.

                    This is a subject matter of property law between private parties. I know you are a big government guy, but the state has absolutely no role to play here.

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                    • Re : Jaypee Greens Wishtown, Noida

                      Originally posted by dineshsays View Post
                      So if they now sell UGCC land and some other land they have, repay their loans - they become solvent again?
                      Well it is difficult to have a technical conversation with someone who doesn't understand the definition of technical terms he uses ( hint GM and many donald trump companies went bankrupt), but in my opinion, Unitech does not own enough unencumbered UGCC land to sell and pay off their debts ( this is my opinion, not a fact), buy yeah if they could pay off all their debts by just selling assets, they will be solvent again.

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