NEW DELHI: Supreme Court on Friday quashed the acquisition of bankrupt Bhushan Power & Steel Ltd by JSW under the Insolvency and Bankruptcy Code and ordered liquidation of the debt-ridden company, in a blow to the Sajjan Jindal-led group and public sector banks, reports Amit Anand Choudhary.
The court said there were multiple violations of law and regulations in accepting JSW’s Rs 19,700 crore plan and held that the resolution professional “utterly failed to discharge his statutory duties” and the committee of creditors, largely comprising lenders, “failed to exercise its commercial wisdom” and protect the interest of creditors.
The bench accepted the submission that there was “a dishonest and fraudulent attempt” by JSW by misusing the…
