US court releases JSW Steel from further liability to MM Steel

Shares of JSW Steel were trading 0.10% lower at Rs 1,404 apiece on the Bombay Stock Exchange

JSW Steel, on Friday, said a US district court has released its subsidiary JSW Steel USA INC (JSWUSA) from any further liability to MM Steel in return for a payment of $54.8 million (around Rs 368 crore).

"On June 16, 2016, the district court entered an order releasing JSW Steel USA INC from any further liability to MM Steel under the judgement in return for a payment of $5,48,52,478.24," JSW Steel said in a BSE filing.

It further said: "This payment has been made and JSWUSA intends to seek review of the Fifth Circuit's decision by filing a petition for writ of certiorari in the United States Supreme Court, which if successful, could result in the refund of part or all of the funds paid to satisfy the judgement."

 

In December 2015, a district court in the US had asked a JSW Steel subsidiary to pay a $156 million (Rs 1,040 crore) fine, as it confirmed an earlier ruling by a jury in an antitrust case filed by a local steel distributor.

MM Steel had sued its competing distributors and steel manufacturers, including JSW Steel, in 2012, claiming that its rivals had conspired to deprive it of supplies and that the manufacturers had knowingly joined the plot, the court document showed. MM pulled the shutters down on its business in 2013.

Shares of JSW Steel were trading 0.10% lower at Rs 1,404 apiece on the BSE.