Supreme Court Rejects Resolution Plan of JSW, Orders Liquidation

The Supreme Court delivered a landmark judgment by rejecting JSW's resolution plan and ordering liquidation, finding it violated the IBC's creditor hierarchy. The court emphasized strict adherence to the statutory waterfall mechanism over commercial considerations in insolvency resolutions. This decision reinforces the IBC's structural integrity by prioritizing process sanctity and equitable treatment of creditors, particularly operational creditors who were disadvantaged in the proposed plan.