BCCI Moves NCLT To Withdraw Insolvency Plea Against BYJU’S

BCCI Moves NCLT To Withdraw Insolvency Plea Against BYJU’S

SUMMARY

BCCI has moved an application before the National Company Law Tribunal (NCLT) to withdraw its insolvency petition against BYJU’S

The move was opposed by BYJU'S creditors Glas Trust and Aditya Birla Finance

From authorities to BYJU'S investors, all are in the fray to recover their dues from the company. 

The Board of Cricket Council for Cricket in India (BCCI) has moved an application before the National Company Law Tribunal (NCLT) to withdraw its insolvency petition against BYJU’S, the counsel for the beleaguered edtech startup’s insolvency resolution professional Pankaj Srivastava reportedly told a bench of the Tribunal.

As per a report by ET, the move was opposed by BYJU’S creditors Glas Trust and Aditya Birla Finance. 

The counsel representing Srivastava alleged that Glas Trust’s intent by moving the courts is to cloud the insolvency proceeding. “Ultimately, if the withdrawal application is taken up and considered on its merits by this honourable Tribunal, orders can be passed. Thereafter, my Lords, what remedies Glas is to pursue should be left to be treated separately,” the report quoted him as saying.

It is pertinent to note that Glas Trust as well as Aditya Birla Finance are seeking removal of Srivasatava. 

Earlier this year, the NCLT admitted the BCCI’s insolvency petition against BYJU’S. However, both the parties reached a settlement following that, after which the National Company Law Appellate Tribunal (NCLAT) set aside the insolvency proceedings. 

Following the admission of the BCCI’s plea, the NCLT dismissed a separate insolvency plea filed by Glas Trust, a consortium of BYJU’S US-based Term Loan B (TLB) lenders. 

However, Glas Trust moved the Supreme Court (SC) to get back its dues. In turn, the SC dismissed the NCLAT settlement and instructed the BCCI to deposit the funds retrieved from BYJU’S with the committee of creditors.

From authorities to BYJU’S investors, all are in the fray to recover their dues from the company. 

A couple of days ago, it was reported that the Directorate General of GST Intelligence (DGGI) was mulling moving the NCLT to recover INR 250 Cr of unpaid taxes from the US subsidiaries of BYJU’S. 

Besides DGGI, the Central Board of Indirect Taxes and Customs (CBIC) also filed claims worth INR 157 Cr ($18.7 Mn) before the resolution professional. Further, Karnataka’s commercial tax Department sought dues worth INR 691 Cr ($82.3 Mn). 

Not to mention, the company is facing disgruntled investors from all over the world. Its investors General Atlantic, Peak XV Partners, Sofina SA, MIH Edtech Investments have also been at BYJU’S throat for a large part of 2024.

Step up your startup journey with BHASKAR! From resources to networking, BHASKAR connects Indian innovators with everything they need to succeed. Join today to access a platform built for innovation, growth, and community.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

2 YEAR PLAN
₹19999
₹7999
₹333/Month
UNLOCK 60% OFF
Cancel Anytime
1 YEAR PLAN
₹9999
₹4999
₹416/Month
UNLOCK 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

BCCI Moves NCLT To Withdraw Insolvency Plea Against BYJU’S-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

BCCI Moves NCLT To Withdraw Insolvency Plea Against BYJU’S-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

BCCI Moves NCLT To Withdraw Insolvency Plea Against BYJU’S-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

BCCI Moves NCLT To Withdraw Insolvency Plea Against BYJU’S-Inc42 Media
BCCI Moves NCLT To Withdraw Insolvency Plea Against BYJU’S-Inc42 Media
You’re in Good company