The Supreme Court of India has accepted the appeal by BYJU’S promoters against the NCLAT’s refusal to withdraw insolvency proceedings linked to a Rs. 158 crore settlement with BCCI. Notices have been issued to relevant parties, with the next hearing scheduled for July 21, where interim relief may be considered.
The Karnataka High Court has directed the preservation of all emails and communications related to Byju’s insolvency case, stating, “Preserve all emails.” The interim order came in response to a petition by Byju Raveendran, aiming to secure crucial digital evidence amid ongoing proceedings under the Insolvency and Bankruptcy Code (IBC).
Lenders have accused Byju’s former management of attempting to dilute Think and Learn’s stake in Aakash, stressing its crucial role for the company’s value. The National Company Law Tribunal is involved, with several legal representatives addressing ongoing insolvency claims and management control over Aakash, amid ongoing disputes and pending applications.
![[BREAKING] Supreme Court Nullifies Rs 158 Crore Byju's-BCCI Settlement To Conclude CIRP Proceedings](https://i0.wp.com/lawchakra.in/wp-content/uploads/2024/09/image-430.png?resize=447%2C367&ssl=1)
The Supreme Court of India Today (Oct 23) nullified the Rs 158 crore settlement between Byju’s (Think and Learn Pvt Ltd) and the Board of Control for Cricket in India (BCCI). The decision overturned a previous ruling by the National Company Law Appellate Tribunal (NCLAT), which had closed the insolvency proceedings against the ed-tech giant Byju’s, following a settlement with BCCI. The court criticized the NCLAT for prematurely concluding the Corporate Insolvency Resolution Process (CIRP) by invoking its inherent powers under Rule 11 of the NCLAT Rules 2016.
The Supreme Court Today (Sept 26) reserved its judgment on U.S.-based Glas Trust Company LLC’s appeal against the NCLAT’s stay on insolvency proceedings for BYJU’s, which also approved a Rs 158.9 crore settlement with BCCI. The SC has halted today’s 4 PM creditors’ committee meeting and any further meetings until its decision.
The Supreme Court Today (Sept 25) expressed doubts over whether the National Company Law Appellate Tribunal (NCLAT) had applied its mind while deciding to close insolvency proceedings against ed-tech firm Byju’s. The Court indicated that it is inclined to send the matter back to the NCLAT to take a fresh decision.
The Supreme Court will hear a US creditor’s appeal against an NCLAT judgment on September 17. The judgment halted insolvency proceedings against BYJU’s and approved its Rs 158.9 crore settlement with the BCCI. The court has agreed to hear another related plea on the same date, following multiple requests to expedite the hearing.
Byju Raveendran filed a caveat with the Supreme Court on August 3 against US-based creditor Glas Trust Company LLC, following an NCLAT order. The NCLAT had restored Byju’s board and overturned insolvency proceedings against the edtech company. This preemptive legal move aims to ensure a fair hearing before any potential challenge by Glas Trust.
Today(on 31st July), The BCCI has resolved its cricket jersey sponsorship dispute with Byju’s, with Byju’s agreeing to repay over Rs.158 crores to the BCCI. However, a US-based financial creditor opposes the settlement, alleging illicit funds. The NCLAT is examining the situation. Byju’s insolvency proceedings are also ongoing, with various legal actions at different courts.