Committee of creditors (CoC) led by Punjab National Bank in Bhushan Power and Steel Ltd (BPSL) will meet other lenders having exposure to the account in the next two to three days, said PNB managing director and chief executive officer, Ashok Chandra.
He added that PNB is in touch will all other members of the CoC and will take necessary decision on the verdict by the Supreme Court after the meeting.
During the post earnings call, Chandra also mentioned that the bank has received Rs 3,000 crore from the JSW Steel after the resolution.
On Friday last week (May 2), the Supreme Court cancelled JSW Steel’s Rs 19,350 crore acquisition of BPSL and ordered the company's liquidation.
The matter was pursued by BPSL’s operational creditors, who challenged the approval of the resolution plan on the grounds that their claims were unfairly treated and key procedural lapses had gone unaddressed.
The May 2 ruling highlights procedural and legal lapses in one of the most high-profile takeovers under the Insolvency and Bankruptcy Code (IBC), as the apex court raised questions around missed timelines, inconsistent creditor oversight, and the role of promoter-linked structures in resolution plans that were allowed to proceed despite non-compliance on several fronts.
On May 5, Moneycontrol reported that the government and committee of creditors (CoC) are working on likely legal remedies ahead of them.
The SC's verdict may have an unprecedented impact in the financials of banks and other lenders represented by the CoC and JSW Steel itself. Many fear hit on the balance sheet may severe the business growth for lenders and the company if SC's judgement is upheld even after seek any legal remedial actions.
On May 5, M. Nagaraju, Secretary, Department of Financial Services, said that the government is studying the judgement and may finalise the next steps after the consultation with the government advocates.
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