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 Limited, dismissing appeals from ex-promoters and creditors. The ruling follows earlier decisions criticizing the handling of the insolvency process by the CoC, resolution professional, and National Company Law Tribunal.
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In a significant judgment, the Supreme Court has validated JSW Steel's Rs 19,700-crore resolution plan for the financially troubled Bhushan Power and Steel Limited (BPSL). A specially convened bench, led by Chief Justice B R Gavai, ruled out the appeals lodged by former promoters and creditors of BPSL.
The decision comes after a Supreme Court bench had recalled its previous directive for liquidating BPSL, initially criticizing the actions of the Committee of Creditors (CoC), the insolvency professional, and the National Company Law Tribunal for alleged breaches of the Insolvency and Bankruptcy Code (IBC).
This ruling overturns an earlier judgment by Justices Bela M Trivedi and Satish Chandra Sharma, who had declared JSW Steel's resolution plan illegal under the IBC, signaling a potentially new direction in India's insolvency landscape.
(With inputs from agencies.)
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