JSW Steel announced that National Company Law Tribunal has approved the Resolution Plan submitted by JSW Steel Limited in respect of the corporate insolvency resolution process of Bhushan Power and Steel Limited. 2 member NCLT bench, headed by its president MM Kumar, said in its 138-page order that the resolution plan of JSW, H1 resolution applicant, is accepted. The bench also overruled objections raised by erstwhile promoters of the company as well as its operational creditors, both of which were against JSW Steel’s resolution plan.
The NCLT’s principal bench had on July 26, 2017, admitted the insolvency plea of Punjab National Bank against the company. A clutch of 34 financial creditors claimed INR 47,303 crore from the company, as on January 3, 2019, of which, the resolution professional admitted claims worth INR 47,158 crore. Operational creditors, numbering 1,778, claimed INR 2,320 crore from BPSL. JSW Steel has submitted INR 19,700 crore,. Financial creditors get INR 19,350 crore while operational creditors will get INR 350 crore against their admitted claims of INR 733.76 crore.
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