UNRAVELING THE FACADE OF RESOLUTION: SAGA OF BHUSHAN POWER AND STEEL LIMITED

Published On: 16/05/2025

Practice Area: Dispute Resolution

Authors:

Recently, the Supreme Court of India in Kalyani Transco v. M/s Bhushan Power and Steel Ltd. & Ors directed Bhushan Power and Steel Limited to be liquidated under the provisions of the Insolvency and Bankruptcy Code, 2016 despite an already implemented resolution plan approved 3 years ago. In this Info Alert, Sushmita Gandhi, Anamika Singh, and Kushal Boolchandani discuss the lapses by the stakeholders including the Committee of Creditors, Resolution Professional and JSW Steel in approval and implementation of the resolution plan which led to the liquidation of Bhushan Power and Steel Limited, the scope of commercial wisdom of the Committee of Creditors and impact of this judgment on the future insolvency proceedings and express their views on the same.