Apex court stays ED move to attach assets of BPSL
NEW DELHI: The Supreme Court on Friday stayed an Enforcement Directorate move to provisionally attach all assets of ailing Bhushan Power and Steel Ltd (BPSL), which is under insolvency procedure, in connection with money laundering charges and issued a notice to the probe agency.
A bench led by Chief Justice of India SA Bobde stayed the ED attachment order while hearing a petition filed by the committee of creditors (CoC) of Bhushan SteelNSE 2.84 % on Wednesday. The court asked ED to explain whether its money-laundering charges would trump the insolvency proceedings by February 2020.
The CoC petition claimed that JSW had already filed a resolution plan for taking over the ailing company and that had been cleared by CoC and the National Company Law Tribunal. But that was stayed by appellate tribunal NCLAT on October 14 due to the ED order.
