Supreme Court Orders Status Quo on Byju's Insolvency Proceedings

The Supreme Court has directed the interim resolution professional (IRP) to maintain the status quo and halt any meetings of the creditors' committee in the insolvency case involving ed-tech firm Byju's. The Court reserved its verdict on Glas Trust Company LLC's plea against NCLAT's ruling that set aside insolvency proceedings.

The Supreme Court on Thursday directed the interim resolution professional (IRP) to maintain the status quo and not hold any meeting of the committee of creditors (CoC) concerning the insolvency proceedings against ed-tech company Byju's.

The top court also reserved its verdict on Glas Trust Company LLC's plea challenging the National Company Law Appellate Tribunal's (NCLAT) decision to halt the insolvency proceedings against Byju's and sanction its Rs 158.9 crore settlement with the Board of Control for Cricket in India (BCCI).

Chief Justice D Y Chandrachud, along with Justices J B Pardiwala and Manoj Misra, announced that the IRP must not convene any CoC meetings until the final judgment is delivered. The decision followed allegations from senior advocate Kapil Sibal that Glas Trust Company LLC, holding a dominant share in the CoC, was unfairly removed by the current IRP.

(With inputs from agencies.)