Business Standard

Explained: Are Enforcement Directorate's seizures harming the economy?

ED's move could stall the resolution process, prevent banks from recovering their pending dues

Enforcement directorate
Web Exclusive Premium

Enforcement Directorate

Sai Manish New Delhi
At the centre of the present impasse between National Company Law & Appellate Tribunal (NCLAT) and Enforcement Directorate (ED) is Bhushan Power & Steel, one of the biggest corporate defaulters in India. One of its group companies, Bhushan Steel, was referred by the Reserve Bank of India (RBI) to the National Company Law Tribunal (NCLT) in 2017 for resolution of its bad debts under the Insolvency and Bankruptcy Code 2016. It was acquired by the Tata Group for Rs 35,200 crore, enabling banks to recover almost two-thirds of their dues from the firm. Creditors have claimed Rs 56,079 crore from

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Oct 30 2019 | 12:52 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com