Bhushan Power: First decide on ED case, will pay after that, JSW Steel tells SC

JSW Steel, whose resolution plan has been approved by the National Company Law Tribunal (NCLT) and the appellate tribunal to take over the bankrupt Bhushan Power and Steel (BPSL), on Wednesday told the Supreme Court that it was not possible for it to pay the lenders and then wait for the outcome of the Enforcement Directorate’s proceedings against the old management in an alleged money laundering case.

Appearing on behalf of JSW Steel, senior counsel Harish Salve said that the company runs the risk of being held responsible by the ED for the alleged misdeeds of the earlier management, and hence paying up as per the demands of the committee of creditors is not feasible at this stage. Salve, therefore sought disposal of the case at the earliest. JSW Steel earlier missed the deadline of March 17 to make the payment of Rs 19,350 crore as per approval from National Company Law Appellate Tribunal (NCLAT).