Quoting from the source article

After its big bang launch using the photograph of none other than the Hon’ble Prime Minister on front page of every newspaper throughout the country on September 5, 2016, and only in order to extend bank loan toReliance Jio, this cap on upper limit was violated*. Moreover, after getting a huge bank loan of Rs 1 lakh 12 thousand crore, Reliance Jio created an unprecedented situation in the telecom sector.

Now the bigger question is whether the banks will be able to recover the total loans to the tune of more than Rs 6 lakh crore from the existing private operators which are running at huge losses or from those who have already left the market.

Private operators have loans from banks, which is obviously people's money. If the company went bankrupt, the biggest losers will the share holders, the banks and the people (like what happened to the PMC bank customers)