{"id":15571,"date":"2025-09-26T05:51:00","date_gmt":"2025-09-26T05:51:00","guid":{"rendered":"https:\/\/tezgyan.com\/index.php\/2025\/09\/26\/sc-upholds-jsw-steels-rs-19700-crore-resolution-plan-for-bhushan-power-steel-business-news\/"},"modified":"2025-09-26T05:51:00","modified_gmt":"2025-09-26T05:51:00","slug":"sc-upholds-jsw-steels-rs-19700-crore-resolution-plan-for-bhushan-power-steel-business-news","status":"publish","type":"post","link":"https:\/\/tezgyan.com\/index.php\/2025\/09\/26\/sc-upholds-jsw-steels-rs-19700-crore-resolution-plan-for-bhushan-power-steel-business-news\/","title":{"rendered":"SC Upholds JSW Steel’s Rs 19,700-Crore Resolution Plan For Bhushan Power & Steel | Business News"},"content":{"rendered":"


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With this, the SC has provided relief to JSW Steel and overturned its May 2 decision, which had rejected the resolution plan four years after the NCLT resolution.<\/h2>\n
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The Supreme Court has rejected the objections raised by former promoters and certain creditors of Bhushan Power & Steel Ltd.<\/p>\n<\/figure>\n

In a major decision, the Supreme Court on September 26 upheld JSW Steel\u2019s Rs 19,700-crore resolution plan for debt-ridden\u00a0Bhushan Power & Steel. The judgment is a major relief for JSW Steel. An SC bench, comprising Chief Justice B R Gavai, Justices S C Sharma and K Vinod Chandran, has rejected the objections raised by former promoters and certain creditors of Bhushan Power & Steel Ltd.<\/p>\n

With this, the SC has overturned its May 2 decision, which had rejected the resolution plan four years after the NCLT resolution.<\/p>\n

What Is the JSW Steel-Bhushan Power Case?<\/strong><\/p>\n

Bhushan Power & Steel Ltd, a major player in India\u2019s steel sector, defaulted on large bank loans. In 2017, Punjab National Bank initiated insolvency proceedings under the IBC. JSW Steel, one of India\u2019s leading steel companies, submitted a Rs 19,700 crore resolution plan in 2019, which was approved by the Committee of Creditors (CoC) and the National Company Law Tribunal (NCLT).<\/p>\n

JSW Steel completed the acquisition in March 2021 and began operating BPSL.<\/p>\n

On May 2, 2025, four years after the acquisition, the Supreme Court scrapped JSW Steel\u2019s acquisition of BPSL, on the grounds that the resolution plan violated the Insolvency and Bankruptcy Code (IBC). This became a major issue within the industry as it indicated uncertainty in the IBC system despite after years of acquisition.<\/p>\n

A bench of Justice Bela M Trivedi and Justice Satish Chandra Sharma ruled JSW Steel\u2019s resolution plan illegal and a \u201cflagrant violation” of the IBC, criticising the Resolution Professional, the Committee of Creditors (CoC), and the NCLT.<\/p>\n

However, later, on May 26, the Supreme Court delivered an order to maintain the status quo, thus boosting industry confidence. A separate Supreme Court bench comprising Justice BV Nagarathna and Justice Satish Chandra Sharma on May 26 ordered a status quo on all liquidation proceedings, following a petition by JSW Steel, thus giving respite to JSW Steel that faced uncertainty after the previous SC order.<\/p>\n

Now, on September 26, the apex court has upheld JSW Steel\u2019s Rs 19,700-crore resolution plan for debt-ridden Bhushan Power & Steel. An SC bench, comprising Chief Justice B R Gavai, Justices S C Sharma and K Vinod Chandran, has rejected the objections raised by former promoters and certain creditors of Bhushan Power & Steel Ltd.<\/p>\n

The landmark judgment is a major relief for JSW Steel.<\/p>\n

Why This Case Matters?<\/strong><\/p>\n

The case is one of the landmark cases in the IBC proceedings. This case has become a major issue within the industry as it indicated uncertainty in Insolvency and Bankruptcy Code (IBC), even years after a resolution plan has been fully implemented. JSW Steel had acquired Bhushan Power & Steel following all necessary approvals, yet the Supreme Court\u2019s decision on May 2 to reject the resolution plan and order liquidation shook industry confidence. It raised concerns about the finality and enforceability of approved resolution plans, potentially discouraging future bidders and investors from participating in distressed asset deals under the IBC framework.<\/p>\n

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Mohammad Haris<\/a><\/p>\n

Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More<\/span><\/p>\n<\/div>\n<\/div>\n

Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More<\/span><\/p>\n<\/div>\n<\/div>\n

Click here<\/a> to add News18 as your preferred news source on Google. Stay updated with all the latest business news, including market trends<\/a>,\u00a0stock updates<\/a>,\u00a0tax<\/a>, IPO,\u00a0banking finance<\/a>, real estate, savings and investments. To Get in-depth analysis, expert opinions, and real-time updates. Also Download the\u00a0News18 App<\/a> to stay updated.<\/span><\/div>\n
First Published:<\/span><\/p>\n
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September 26, 2025, 11:03 IST<\/p>\n<\/div>\n<\/div>\n

News<\/a> business<\/a> SC Upholds JSW Steel’s Rs 19,700-Crore Resolution Plan For Bhushan Power & Steel<\/span><\/div>\n
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Last Updated:September 26, 2025, 11:18 IST With this, the SC has provided relief to JSW Steel and overturned its May 2 decision, which had rejected the resolution plan four years after the NCLT resolution. The Supreme Court has rejected the objections raised by former promoters and certain creditors of Bhushan Power & Steel Ltd. In…<\/p>\n","protected":false},"author":1,"featured_media":15572,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[],"class_list":["post-15571","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/15571","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/comments?post=15571"}],"version-history":[{"count":0,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/15571\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media\/15572"}],"wp:attachment":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media?parent=15571"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/categories?post=15571"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/tags?post=15571"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}