Bhushan Steel Case

SC overturning order in BPSL case a course correction for IBC: Experts

The SC has also addressed the issue of delays in the IBC due to litigation and extensions, which stand in the way of implementing a successful resolution plan

SC reserves verdict on JSW Steel's ₹19,700 crore resolution plan for BPSL

The Supreme Court on Monday reserved its verdict on a batch of pleas related to JSW Steel's Rs 19,700-crore resolution plan for debt-ridden Bhushan Power and Steel Limited (BPSL). A special bench comprising Chief Justice B R Gavai and Justices Satish Chandra Sharma and K Vinod Chandran heard arguments from Solicitor General Tushar Mehta for the committee of creditors (CoC), senior advocate Neeraj Kishan Kaul for JSW Steel, and senior advocate Dhruv Mehta for the former promoters before reserving the verdict. As many as five pleas were heard afresh after the CJI-led bench, on July 31, recalled its May 2 verdict that had directed liquidation of BPSL and set aside JSW's resolution plan, criticising the conduct of the CoC, the resolution professional, and the National Company Law Tribunal (NCLT) for what it termed a flagrant violation of the Insolvency and Bankruptcy Code (IBC). One of the key issues was whether earnings before interest, tax, depreciation, and amortisation (EBITDA) ...

Bhushan Steel's former resolution professional files review petition in SC

Mahender Khandelwal, the RP for Bhushan Power and Steel Ltd, has claimed that the top court has overlooked certain critical documents and procedural compliances and committed certain 'errors apparent'

IBC in stress: Survival depends on commitment to its core principles

Public laws aim to keep the crime proceeds beyond the reach of criminals while punishing the criminals. Although these proceeds were never the state's property, state benefits from their confiscation

Supreme Court halts liquidation process against BPSL, orders status quo

The Supreme Court pauses NCLT proceedings to liquidate BPSL, observing that doing so may prejudice JSW's yet-to-be-filed review of its quashed resolution plan

JSW Steel shares rise as SC orders status quo on Bhushan Power liquidation

JSW Steel shares rose after the Supreme Court order to maintain the status quo in the Bhushan Steel case.

PSU banks trade mixed post SC verdict on JSW Steel; should you buy the dip?

State Bank of India (SBI), Indian Overseas Bank (IOB), Uco Bank, Central Bank of India and Union Bank of India slipped between 1 per cent to 2 per cent in intraday deals on Monday

Govt weighing next move after SC's JSW-BPSL order: DFS Secretary M Nagaraju

The DFS is assessing the Supreme Court's Bhushan Steel ruling with lenders and may chart next steps soon; IDBI Bank's 61 per cent stake sale will conclude in 2025

BPSL liquidation: MCA, IBBI study SC order to assess IBC implications

"We are examining the order and seeing what learnings can be taken from there in terms of IBC regulations and processes," the government official said

ED restitutes assets worth Rs 4,025 cr in Bhushan Steel bank 'fraud' case

The ED has restituted assets worth Rs 4,025 crore of the erstwhile Bhushan Steel and Power Limited to JSW Steel following approval from the Supreme Court, the federal probe agency said on Saturday. JSW Steel was the successful resolution applicant to the assets of the insolvent company under the Insolvency and Bankruptcy Code (IBC) of the Corporate Insolvency Resolution Process (CIRP). These assets were earlier attached by the federal probe agency under provisions of the Prevention of Money Laundering Act (PMLA) in an investigation against Bhushan Steel and Power and its promoters on charges of alleged bank loan fraud and "diversion" of those funds for personal investments. The Enforcement Directorate (ED) said the restitution of assets worth Rs 4,025 crore was made under Section 8(8) of the PMLA (restitution pending trial), read with Rule 3A of PMLA Restoration of Property Rules. The apex court gave its approval on this Enforcement Directorate (ED) proposal on Wednesday, the agenc

Bhushan Steel case: HC issues notice on ED's plea challenging bail grant

The agency has challenged the order granting bail to Archana Ajay Mittal on medical grounds

ED attaches assets worth Rs 367 crore in Bhushan Steel 'bank fraud' case

The Enforcement Directorate (ED) on Friday said it has attached immovable assets worth Rs 367 crore in Delhi, Mumbai, Kolkata and some cities in Odisha as part of a money-laundering probe linked to an alleged bank-loan fraud against Bhushan Steel Limited (BSL). A provisional order has been issued under the Prevention of Money Laundering Act (PMLA) to attach the assets that were held "in the name of benamidars/shell entities through dummy directors so as to conceal them and to ensure that they are out of the reach of law enforcement agencies", the ED has said in a statement. After completing the corporate insolvency resolution process (CIRP), BSL was taken over by Tata Steel Limited in 2018. The ED has accused BSL, its managing director Neeraj Singal and associates of forming "several shell companies". "They rotated funds from one company to another through a chain of multiple entities. The funds were circulated to infuse capital, buy property and for other personal purposes not ...

Bhushan Steel bank 'fraud' case: ED arrests 5 including ex-executives

The Enforcement Directorate Friday said it has arrested five persons in connection with an alleged Rs 56,000 crore bank loan fraud linked money laundering case against erstwhile Bhushan Steel Ltd. Former vice president (banking) of the company Pankaj Tewari, former VP (accounts) Pankaj Agarwal, ex-chief financial officer Nittin Johri, Ajay Mittal, the brother-in-law of former promoter Neeraj Singal, and Ajay Mittal's wife and sister of Neeraj Singal, Archana Mittal were taken into custody under the Prevention of Money Laundering Act (PMLA) on Thursday, it said. They were sent to three days ED custody by a court after they were produced over two days, the agency said. After completing the corporate insolvency resolution process, Bhushan Steel was taken over by Tata Steel Ltd in 2018. According to the ED, Bhushan Steel Limited's former managing director Neeraj Singal and his associates formed several shell companies and the promoters and entities linked to BSL "rotated funds from one

Bhushan Steel bank case: ED nabs 5 persons for alleged Rs 56,000 cr fraud

The Enforcement Directorate has arrested five persons in connection with an alleged Rs 56,000 crore bank loan fraud linked money laundering case against erstwhile Bhushan Steel Ltd (BSL), official sources said Friday. Those taken into custody on Thursday are Pankaj Kumar Tiwari, the former vice president banking of the company, former VP accounts Pankaj Kumar Agarwal, ex-chief financial officer Nitin Johri, Ajay Mittal, the brother-in-law of former promoter Neeraj Singal, and Ajay Mittal's wife and sister of Neeraj Singal, Archana Mittal. After completing the corporate insolvency resolution process (CIRP), Bhushan Steel was taken over by Tata Steel Ltd in 2018. According to the ED, Bhushan Steel Limited's former Managing Director Neeraj Singal and his associates formed several shell companies and the promoters and entities linked to BSL "rotated funds from one company to another through a chain of multiple entities" as part of an alleged bank loan fraud. The money laundering case .

Ex-promoters can't hold stake in insolvent firm, says Supreme Court

In March 2022, the NCLAT dismissed an appeal filed by the Singhals that challenged the October 2021 NCLT order that asked the promoter group to sell their 25 mn shares at Rs 2 a piece to Tata Steel

Bhushan steel case: Aarti Singal gets bail within 7-days of arrest

Special Court in Delhi has granted bail to Aarti Singal, the former Director of Bhushan Power and Steel Limited (BPSL) in the fraud case of Rs 5,500 crores.The case is being investigated by the Serious Fraud Investigation Office (SFIO).Singal was arrested by SFIO on March 21, 2022 and was produced before the Special Court in Dwarka on March 22, 2022.Special Judge Sumit Das on March 28, while passing the order, said that no independent role of Aarti Singhal has been brought out on record by SFIO except that she has, jointly with her husband, signed cheques or issued instructions to the bank for issuance of Demand Draft (DD).The court also observed that Aarti Singal deserves to be granted the benefit of special status to woman as provided under provisions of Section 437 and Section 212(6) of the Companies Act, 2013 taking into consideration her role of being a passive woman director is concerned.Taking into consideration the enabling provision to Section 212(6) of the Companies Act ...

PSBs stare at tough quarter over coronavirus and higher provisioning

Slimmer chances of recovering Rs 20,000 cr from Bhushan Steel resolution in the near future add to lender's woes

Bhushan Power acquisition: JSW Steel likely to pay Rs 19,700 cr by March 15

On Feb 17, NCLAT had permitted JSW Steel to acquire the bankrupt company and granted it immunity from prosecution by the Enforcement Directorate

Delhi HC dismisses bail plea of Bhushan Steel ex-CFO Nittin Johari

The verdict by Justice Brijesh Sethi came after the Supreme Court set aside the bail granted to Johari by the high court in August last year and asked it to hear the matter afresh

ED opposes dropping ongoing investigation against Bhushan Power and Steel

This is because the immunity provided by the new provision in the insolvency law is not applicable to the new promoter (JSW Steel)