SC refuses to pass interim order to stop setting up of CoC in insolvency proceedings against Byju's
Supreme Court on Tuesday refused to restrain the Interm resolution professional (IRP) of debt-ridden Think & Learn Pvt Ltd, the parent of online educational services company Byju's, from constituting a committee of creditors (CoC).
A bench led by Chief Justice DY Chandrachud agreed to hear the case in detail on Thursday, including the bankrupt edtech company’s request to stall the formation of CoC.
Requesting the apex court to direct IRP Pankaj Srivastava against constituting the panel before Friday, senior counsel AM Singhvi, appearing for the edutech firm, told the SC that it would be infructuous if the CoC was constituted within 48 hours.
Solicitor General Tushar Mehta, appearing for the Board of Control for Cricket in India (BCCI), said that the committee cannot be formed without the SC hearing the matter.
The Supreme Court had on August 14 in effect revived the insolvency case against Byju's, suspending the National Company Law Appellate Tribunal's order that had quashed bankruptcy proceedings against the company and approved a Rs 158.9 crore settlement deal between Think & Learn and BCCI, its operational creditor.
While issuing a notice to Think & Learn, its co-founder Byju Raveendran and the cricket board on US lender GLAS Trust Co LLC's plea against the settlement, the apex court had also asked the cricket board to keep Rs 158 crore, realised in the settlement, in a separate escrow account.
GLAS Trust, the trustee for lenders owed $1.2 billion, had opposed the settlement arrived at between the edutech
