Power, shipping and sugar companies have challenged the Reserve Bank of India’s (RBI) February 12 circular and the case will be heard today.
The circular, which was passed on February 12, has identified about 30 odd companies, which have loans over Rs 2,000 crore and are stressed. Many of them were power companies and they have already challenged the RBI's circular in various courts.
The Supreme Court (SC) has decided to hear all those cases together and today's hearing is all about that. At the moment, the circular is stayed.
In September this year, the SC had ordered status quo on the implementation of the circular and also agreed to transfer to itself 12 cases pending before different high courts related to this issue.
The apex court order came after power producers moved the court requesting it to cancel the RBI's dictate which has put a question mark over the future of these companies.
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