Homemarket Newsstocks News

    Nifty PSU Bank index rallies after SC ruling in Essar Steel case

    Nifty PSU Bank index rallies after SC ruling in Essar Steel case

    Nifty PSU Bank index rallies after SC ruling in Essar Steel case
    Profile image

    By Mousumi Paul   IST (Updated)

    Mini

    Nifty PSU Bank remained the top-performing index since Friday morning anticipating the Supreme Court’s ruling on Essar Steel-Arcelor Mittal case.

    The Nifty PSU Bank index was the top-performing index since Friday morning anticipating the Supreme Court’s ruling on Essar Steel-Arcelor Mittal case. The index rallied nearly 5 percent after the SC set aside the NCLAT's ruling that provided for equal distribution between financial and operational creditors.
    At 10:55 am, the Nifty PSU Bank was trading 4.62 percent higher with Central Bank as its frontrunner, surging 11 percent intraday on the NSE.
    Meanwhile, Bank of India, Syndicate Bank, Canara Bank, and PNB climbed 7.54 percent, 7.17 percent, and 7.2 percent and 5.80 percent intraday respectively.
    The largest exposure given to Essar Steel is by State Bank of India, and its share price on intraday basis was trading 5.32 percent at Rs 322.30.
    In its ruling, the Supreme Court said, “The ultimate discretion on distribution is with CoC (Committee of Creditors). NCLT cannot interfere with the commercial decisions taken by the CoC. If NCLT finds legal parameters not met then it can send back to CoC.”
    Essar Steel-ArcelorMittal Case: Supreme Court sets aside NCLAT judgment
    The apex court also relaxed the timeline of 330 days prescribed in insolvency and Bankruptcy Code (IBC). It opened to NCLAT the opportunity to extend the timeline if required and set aside the NCLAT judgment of equal distribution of amount between financial and operational creditors.
    Disclaimer: CNBCTV18.com advises users to check with certified experts before taking any investment decisions
    Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
    arrow down

      Most Read

      Market Movers

      View All
      CompanyPriceChng%Chng