Delhi Court Clears JSW Steel in Coal Block Allocation Case

A Delhi court has discharged JSW Steel Ltd in a case involving irregularities in coal block allocations after the company took over Monnet Ispat under the Insolvency and Bankruptcy Code. Judge Arun Bhardwaj ruled that JSW met the requirements for discharge under Section 32A of the IBC.

In a significant legal development, a Delhi court on Tuesday discharged JSW Steel Ltd from charges related to alleged irregularities in the allocation and management of coal blocks in Chhattisgarh. The decision marks a crucial point in a long-standing case involving these allocations.

Presiding over the case, Special Judge Arun Bhardwaj noted that the adjudicating authority had approved JSW's takeover of Monnet Ispat through a resolution under the Insolvency and Bankruptcy Code (IBC). This approval was key to the court's decision, as it granted JSW immunity from prosecution under Section 32A of the IBC.

Vikas Pahwa, senior advocate representing JSW, successfully argued that the company's takeover and the approval of its resolution plan met the legal prerequisites for immunity. The case was initially part of broader investigations into coal block allocations from 1993 to 2005.

(With inputs from agencies.)