While upholding tribunal’s December order, justice Sanjiv Khanna stated the penalty quantity was too small for the market regulator to problem it earlier than the apex courtroom. But it left the query of regulation open on whether or not penalty might be levied on the brand new administration. Issue has been raised in numerous different appeals and is pending earlier than the SC.
SAT (Securities Appellate Tribunal), whereas quashing penalty order in February final yr, had held Bhushan Steel had gone into insolvency in July 2017 and, underneath the IBC, no penalty might be levied on the brand new administration which got here into the image on May 18, 2018.