NCLAT Directs NCLT To Decide On JSW Steel’s Bid For Bhushan Power & Steel By March 31
The National Company Law Appellate Tribunal directed the Delhi bench of the National Company Law Tribunal to decide over JSW Steel’s bid for the debt-ridden Bhushan Power & Steel by March 31.
A two-member NCLAT bench headed by Chairman Justice SJ Mukhopadhaya has also directed the NCLT to hear the representatives of operational creditors, promoters along with dissenting banks.
“We expect the adjudicating authority (NCLT) to decide the case at an early date to ensure that the matter is decided before the end of this financial year,” the appellate tribunal said.
During the proceedings, Bhushan Power promoter Sanjay Singal through his counsel offered to settle all dues of the lenders.
On this, the appellate tribunal directed the NCLT to also take a decision over Singal’s offer to settle.
“Liberty is given to adjudicating authority to decide who should be heard as representative of operational creditors or promoters or dissenting financial creditors, if any,” it said.
Earlier, on Feb. 4 the NCLAT had dismissed the plea of Tata Steel and upheld lenders’ decision to approve the resolution plan of JSW Steel for Bhushan Power & Steel.
Tata Steel had challenged an NCLT order that had allowed the committee of creditors of Bhushan Power & Steel to the resolution plan submitted by Liberty House Group. Tata Steel had contended that the NCLT cannot provide numerous opportunities at the belated stage.
The NCLAT had said the committee of creditors’ decision was well within its rights to negotiate better terms with resolution applicants.
JSW Steel had revised its offer from Rs 11,000 crore to Rs 18,000 crore and later to over Rs 19,000 crore, whereas Tata Steel’s last offer was at Rs 17,000 crore after it had refused to revised its bid.