Byju’s Interim Resolution Professional Calls CoC Meeting To Appoint Permanent RP
Byju’s Interim Resolution Professional Calls CoC Meeting To Appoint Permanent RP
Pankaj Shrivastava, the interim resolution professional (IRP) for Byju’s, has convened a Committee of Creditors (CoC) meeting on Saturday to vote on the appointment of a permanent resolution professional, according to sources.
As per a ruling by the National Company Law Tribunal (NCLT), Glas Trust Company, the administrative agent representing a group of Byju’s lenders, has been included in the CoC and holds 99.41% of the voting rights. This effectively allows Glas Trust to secure the appointment of its preferred nominee as the permanent resolution professional.
In January, the NCLT had directed disciplinary action against the previous resolution professional, citing misconduct and decisions that negatively impacted the insolvency proceedings and stakeholders. The tribunal also reinstated Glas Trust and Aditya Birla Finance in the CoC, after they had been removed by the earlier RP.
“The IRP has a duty to assist the tribunal with honesty and integrity. However, in this case, the conduct of the IRP appears to have been aimed at misleading the tribunal… The actions and decisions taken were prejudicial to the Corporate Insolvency Resolution Process (CIRP) as per the Insolvency and Bankruptcy Code (IBC), 2016,” the tribunal stated in its order on Wednesday.
Judges K Biswal and Ravichandran Ramasamy further observed that the IRP’s actions were “not fit and proper” for an officer of the tribunal. They also suggested that the Insolvency and Bankruptcy Board of India (IBBI) conduct an investigation into the matter.
Srivastava was appointed as IRP in July 2024 when the NCLT admitted an insolvency plea filed by the Board of Control for Cricket in India (BCCI) against the troubled edtech firm. The plea stemmed from unpaid dues of approximately ₹158.9 crore related to a title sponsorship deal signed in 2019. Meanwhile, Byju’s lenders had extended a $1.2 billion term loan to its U.S. subsidiary, Alpha, in 2021.
