Top Court Reverses Tribunal Order On Byju's- BCCI Rs 158 Crore Settlement

The Supreme Court also reversed the order of the NCLAT approving Byju's Rs 158.9 crore dues settlement with the Board of Control for Cricket in India (BCCI).

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India News

Supreme Court directed BCCI to deposit the settlement amount of Rs 158.9 crore.

New Delhi :

The Supreme Court on Wednesday set aside National Company Law Appellate Tribunal's verdict that had stopped insolvency proceedings against embattled ed-tech firm Byju's.

A bench headed by Chief Justice D Y Chandrachud also reversed the order of the NCLAT approving Byju's Rs 158.9 crore dues settlement with the Board of Control for Cricket in India (BCCI).

It directed the cricket board to deposit the settlement amount of Rs 158.9 crore with a committee of creditors.

The bench, also comprising justices J B Pardiwala and Manoj Misra, delivered its verdict on an appeal by US firm Glas Trust Company LLC against the NCLAT order.

Observing that the NCLAT did not apply its mind while closing the insolvency proceedings against the ed-tech major, the bench ordered fresh adjudication in the case.

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The NCLAT, on August 2, granted relief to the embattled ed-tech firm by setting aside the insolvency proceedings against it after approving its Rs 158.9 crore dues settlement with the BCCI.

The NCLAT verdict had come as a huge relief for Byju's as it had effectively put its founder Byju Raveendran back in control of the company's finances and operations.

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However, the relief remained short-lived as the top court, on August 14, termed the NCLAT verdict "unconscionable".

It also stayed the operation of the NCLAT order while issuing notices to Byju's and others on the appeal of Glas Trust Company LLC, the ed-tech firm's US-based creditor, against the judgement of the insolvency appellate tribunal.

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(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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