The use of haptic technologies in modern life scenarios is becoming the new normal particularly in rehabilitation, medical training, and entertainment applications. An evident challenge in haptic telepresence systems is the delay in haptic information. How humans perceive delayed visual and audio information has been extensively studied, however, the same for haptically delayed environments remains largely unknown. Here, we develop a visuo-haptic experimental setting that simulates pick and place task and involves continuous haptic feedback stimulation with four possible haptic delay levels. The setting is built using a haptic device and a computer screen. We use electroencephalography (EEG) to study the neural correlates that could be used to identify the amount of the experienced haptic delay. EEG data were collected from 34 participants. Results revealed that midfrontal theta oscillation plays a pivotal role in quantifying the amount of haptic delay while parietal alpha showed a significant modulation that encodes the presence of haptic delay. Based on the available literature, these results suggest that the amount of haptic delay is proportional to the neural activation that is associated with conflict detection and resolution as well as for multi-sensory divided attention.