JSW Steel-Bhushan Power buy may hit Enforcement Directorate hurdle

There is no power conferred upon the NCLAT under the Insolvency and Bankruptcy Code (IBC) to interfere with a provisional attachment order, ED said.

The JSW Steel-Bhushan Power & Steel acquisition may run into a roadblock with the Enforcement Directorate (ED) claiming that the National Company Law Appellate Tribunal (NCLAT) does not have the jurisdiction to release property attached under the Prevention of Money Laundering Act (PMLA).

In an affidavit filed before the Supreme Court, ED mentioned that the PMLA is a special/specific law governing money laundering in the country and no exceptions can be made to it unless specifically provided for by Parliament.

There is no power conferred upon the NCLAT under the Insolvency and Bankruptcy Code (IBC) to interfere with a provisional