• Feedback
  • RSS Feed
  • Sitemap
Ommcom News
  • Home
  • Odisha
  • Nation
  • World
  • Sports
  • Business
  • Entertainment
  • Videos
  • Science & Tech
  • Photo Gallery
  • ଓଡ଼ିଆରେ ପଢନ୍ତୁ
No Result
View All Result
  • Home
  • Odisha
  • Nation
  • World
  • Sports
  • Business
  • Entertainment
  • Videos
  • Science & Tech
  • Photo Gallery
  • ଓଡ଼ିଆରେ ପଢନ୍ତୁ
No Result
View All Result
Odisha News, Odisha Breaking News, Odisha Latest News || Ommcom News
Home Business

SC Orders Liquidation Of BPSL, Sets Aside JSW Steel’s Resolution Plan

OMMCOM NEWS by OMMCOM NEWS
May 2, 2025
in Business, Odisha

New Delhi: The Supreme Court on Friday ordered the liquidation of cash-strapped Bhushan Power and Steel Limited (BPSL), holding that JSW Steel’s resolution plan for the bankrupt company was not in consonance with the provisions of the Insolvency and Bankruptcy Code (IBC), 2016.

A bench of Justices Bela Trivedi and S.C. Sharma came down heavily on the resolution professional, the Committee of Creditors (CoC), and the National Company Law Tribunal (NCLT) for undermining the very objectives of the IBC, which includes time-bound resolution of insolvency and maximisation of asset value, and and its associated regulations.

The Justice Trivedi-led Bench ruled that JSW Steel’s resolution plan did not protect the interest of creditors and was apparently approved by the CoC without proper application of its commercial wisdom. JSW Steel implemented the resolution plan for BPSL, making the payment of Rs 19,350 crore to the financial creditors to acquire the bankrupt company.

JSW Steel’s bid to acquire BPSL had hit a stalemate following the Enforcement Directorate (ED) approaching the Supreme Court against the National Company Law Appellate Tribunal (NCLAT) order to lift the attachment order against BPSL’s properties. The ED has argued that the appellate tribunal has no jurisdiction to unfreeze and approve the sale of an asset attached by the federal anti-money laundering agency.

Later, the ED decided not to pursue its appeal before the apex court and returned the attached assets to JSW Steel pursuant to the insolvency resolution process.

The ED had attached assets worth more than Rs 4,000 crore of BPSL in connection with its money laundering probe linked to an alleged bank loan fraud by the company’s former promoters It alleged that the promoters, directors, and officials of Bhushan Steel engaged in fraudulent activities, including forging documents and making false representations to banks. Funds were misappropriated through fabricated Letters of Credit in favour of JSW Steel Limited and Hindustan Zinc Limited.

The ED initiated the investigation based on a prosecution complaint filed by the Serious Fraud Investigation Office (SFIO) against Bhushan Steel Limited, invoking scheduled offences under the Prevention of Money Laundering Act (PMLA) 2002. The investigation revealed that Bhushan Steel and its Managing Director, Neeraj Singal, formed shell companies to rotate funds, causing wrongful loss to the State Bank of India and the Punjab National Bank. In September last year, the Supreme Court granted bail to Singal in the money laundering case, taking into consideration the unlikely conclusion of the trial in the near future and his long pretrial incarceration.

(IANS)

Tags: JSW Steel's Resolution PlanSupreme Court
ShareTweetSendSharePinShareSend
Previous Post

High-Level Meeting Held To Plan Celebrations For Completion Of One Year Of The Govt

Next Post

India Nurturing Over A Million Entrepreneurs: Jayant Chaudhary

Related Posts

Odisha

Two Arrested In Cuttack For Shouting ‘Pakistan Zindabad’, Sharing Video Online

May 24, 2025
Odisha

CM Majhi Meets PM Modi After NITI Ayog Meeting

May 24, 2025
Odisha

CM Majhi Unveils Odisha’s Ambition To Become $1.5 Trillion Economy By 2047

May 24, 2025
Odisha

One Killed In Lightning Strike In Khordha

May 24, 2025
Breaking News

Man’s Hand Severed in Dynamite Explosion in Boudh

May 24, 2025
Breaking News

Students Stage Protest Over Non-Declaration Of CBSE Results In Bargarh

May 24, 2025
Next Post

India Nurturing Over A Million Entrepreneurs: Jayant Chaudhary

Subhasish Bose And Soumya Guguloth Clinch AIFF Player Of The Year Honours

Meitei And Kuki-Zo Tribals To Observe 2nd Anniversary Of Ethnic Conflict In Manipur Tomorrow

Khimji
  • Feedback
  • RSS Feed
  • Sitemap

© 2025 - Ommcom News. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Home
  • Odisha
  • Nation
  • World
  • Sports
  • Business
  • Entertainment
  • Videos
  • Science & Tech
  • Photo Gallery
  • ଓଡ଼ିଆରେ ପଢନ୍ତୁ

© 2025 - Ommcom News. All Rights Reserved.