The three-judge bench, headed by Chief Justice B.R. Gavai, upheld the validity of the insolvency-driven acquisition and rejected creditors’ additional payment claims against JSW Steel. The court stated that “allowing the reopening of any case would be contrary to the provisions of the law.”
The court also emphasized that the delay in the acquisition process could not be attributed to JSW Steel. The company had been forced to wait due to ongoing legal proceedings related to the deal. Lenders had demanded additional payments from JSW Steel to compensate for the revenue generated by Bhushan Power during the delay period.
In July 2025, a two-judge bench led by Gavai had recalled the Supreme Court’s earlier order that dismissed JSW Steel’s plan, ruling that the case should be reheard. In May, the acquisition was rejected for not complying with India’s insolvency laws, and the liquidation of Bhushan Power was ordered. JSW Steel and several lenders later sought a review of the decision.
The ruling provided major relief for the company led by billionaire Sajjan Jindal. Following the completion of the acquisition in 2021, Bhushan Power’s annual crude steel capacity increased by around 65%.
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