Supreme Court Stays Bhushan Power & Steel Liquidation: A Lifeline for 25,000 Workers
The Supreme Court on July 31, 2025, issued a significant reprieve to Bhushan Power & Steel Limited (BPSL) by recalling its earlier order for liquidation. The apex court acknowledged potential misinterpretations in its previous judgment that had rejected JSW Steel’s resolution plan.
This reversal directly impacts the livelihoods of approximately 25,000 workers employed by BPSL. The court’s decision highlights concerns about the far-reaching consequences of the initial ruling.
The judges also weighed the implications of overriding the commercial judgment of creditors involved in the resolution process. The fresh hearing will allow for a more comprehensive review of the case.
This development carries significant implications for the future of India’s struggling steel sector and underscores the Supreme Court’s commitment to balancing commercial interests with the welfare of workers. The upcoming hearing will be crucial in determining the fate of BPSL and its employees.
