NCLAT declines to stay Bhushan resolution

New Delhi: The National Company Law Appellate Tribunal (NCLAT) turned down the plea of U.K.-based Liberty House to stay the resolution process of Bhushan Power and Steel.

A two-member bench of the appellate tribunal, headed by Chairman Justice S. J. Mukhopadhaya, directed the committee of creditors (CoC) to go ahead with the resolution process.

At present, the lenders of Bhushan Power and Steel (BPSL) are in the process of finalising the bids. Earlier, lenders of BPSL had rejected the resolution plan submitted by Liberty House citing delay, following which the U.K.-based group had moved the National Company Law Tribunal (NCLT).

NCLT directive

The NCLT had on April 23 directed BPSL’s lenders to consider the bid submitted by Liberty House.

This was challenged by Tata Steel, a BPSL resolution applicant, before NCLAT.