![[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 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.
Today(on 23rd July), Finance Minister Nirmala Sitharaman announced plans to revise the Insolvency and Bankruptcy Code (IBC) to strengthen NCLT tribunals and improve asset recovery. The changes aim to enhance the efficiency of handling stressed assets. Additional tribunals for the NCLT and an integrated technology platform are part of the proposed reforms.
On Thursday(28th June),The Karnataka High Court reserved its decision on a petition challenging the NCLT’s interim order that restrained Byju’s from a second rights issue, with the final order due on July 2. Justice SR Krishna Kumar clarified that the hearing focused on the validity of the NCLT’s order, not the cross-allegations between Byju’s and its investors.
Glas Trust LLC, a foreign creditor, seeks to prevent Byju’s from transferring shares due to loan default. NCLT grants time for response, schedules June 10 hearing. Byju’s founder’s loan raises concerns. Byju’s seeks extension to settle debts with lenders and service providers, NCLT grants time until June 26, with insolvency hearing if unsuccessful.
Yesterday, On 9th May, The Jet Airways lenders are dissatisfied with the resolution plan, citing concerns about its effectiveness. The National Company Law Appellate Tribunal’s decision to transfer ownership to the successful bidder, Jalan Kalrock Consortium (JKC), within 90 days has incurred objections. JKC’s ability to fulfill financial obligations and revive the airline is under scrutiny amidst legal disputes.
The Supreme Court has raised concerns about using NCLT orders from its website as certified copies for appeals at NCLAT. This has led to a notice being issued, and the Insolvency and Bankruptcy Board of India (IBBI) has been asked to review the process. The involvement of Senior Advocate Ritin Rai’s team adds weight to the appellants’ case.
Today,22nd April, The Supreme Court issued notice to Jet Airways and the Jalan Kalrock Consortium following a petition by the State Bank of India challenging the NCLAT’s decision regarding the airline’s ownership transfer. The case reflects complex legal and financial dilemmas in India’s aviation sector. The SBI cited outstanding payments and non-compliance with NCLAT’s orders, emphasizing the intricate nature of the proceedings.
The NCLT Bengaluru bench Today(on April 3rd), issued a split decision on Byju’s investor plea, potentially leading to a third member’s involvement. The case concerns Byju’s EGM and rights issue, challenged by four investors alleging mismanagement and transparency issues. Byju’s is restrained from utilizing funds raised until the dispute is resolved, affecting salary disbursements.