In a decisive verdict that underscores the sanctity of India’s insolvency framework, the Supreme Court on Friday quashed JSW Steel’s resolution plan for debt-laden Bhushan Power and Steel Ltd. (BPSL), citing gross violations of the Insolvency and Bankruptcy Code (IBC), 2016. The court ordered the immediate liquidation of BPSL, marking a significant setback for JSW Steel and raising questions about corporate governance in insolvency proceedings.
Background: A Protracted Legal Battle
The case traces back to 2017 when Punjab National Bank initiated Corporate Insolvency Resolution Process (CIRP) against BPSL, part of the RBI’s “dirty dozen” accounts. JSW Steel emerged as the highest bidder in 2018 with a ₹19,350…
