Supreme Court Upholds JSW Steel’s Resolution Plan for Bhushan Power
The Supreme Court has upheld JSW Steel's Rs 19,700 crore resolution plan for Bhushan Power and Steel, reinforcing the integrity of the Insolvency and Bankruptcy Code. This landmark decision marks the end of a prolonged legal battle, allowing JSW Steel to acquire BPSL without prosecution from the Enforcement Directorate.
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- India
On Friday, the Supreme Court upheld JSW Steel's resolution plan to acquire Bhushan Power and Steel Limited for Rs 19,700 crore, marking a significant victory for the Insolvency and Bankruptcy Code (IBC). This ruling ends a lengthy legal struggle spanning almost eight years.
The judgment was delivered by a bench with Chief Justice B R Gavai and Justices Satish Chandra Sharma and K Vinod Chandran. Earlier, in February 2020, the National Company Law Appellate Tribunal (NCLAT) allowed JSW Steel to proceed with the acquisition free from prosecution by the Enforcement Directorate.
JSW Steel expressed satisfaction, emphasizing the decision's role in preserving the IBC's integrity. The court dismissed appeals from former BPSL promoters and certain creditors, endorsing the NCLAT's verdict. This marks a pivotal moment in one of India's most significant insolvency cases, with substantial efforts made by JSW to turn around BPSL's fortunes.
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