Supreme Court Reserves Order on Byju's Insolvency Proceedings

The Supreme Court has reserved its verdict on a plea challenging NCLAT's decision to halt insolvency proceedings against Byju's. The bench, led by Chief Justice DY Chandrachud, has asked the insolvency professional to maintain the status quo until a final decision is made.

The Supreme Court on Thursday reserved its order on a plea challenging a National Company Law Appellate Tribunal (NCLAT) decision to halt insolvency proceedings initiated by Byju's.

A bench led by Chief Justice DY Chandrachud, along with Justices JB Pardiwala and Manoj Misra, instructed the Insolvency Resolution Professional to maintain the status quo and refrain from holding any meeting with the committee of creditors until the matter is resolved by the highest court.

The court stated, "Judgement reserved," and emphasized that, "until the judgement is pronounced, the interim resolution professional shall maintain the status quo." The hearing was initiated on the plea filed by Glas Trust Company LLC, which contested the NCLAT's previous order. Initially, the NCLAT permitted a settlement between Byju's and BCCI over unpaid dues amounting to Rs 158 crore. Questions have been raised about NCLAT's decision-making process, and the court indicated a possibility to send the issue back to NCLAT for reconsideration.

(With inputs from agencies.)