DELHI/BENGALURU (Reuters) – Some overseas lenders to India’s Byju’s have appealed to the country’s apex court opposing a verdict that had quashed insolvency proceedings against the embattled education startup.
U.S.-based Glas Trust, representing some lenders of a Byju’s group company, on Aug. 7 filed an appeal before India’s Supreme Court, challenging an appeals tribunal’s verdict that allowed Byju’s and the cricket control board of the country to settle a $19 million payment case.
Glas, earlier this month, opposed the settlement at the Indian appeals tribunal, but was rejected.
Before the tribunal, Glas said founder Byju Raveendran and his brother used the money owed to lenders to clear the cricket board’s dues.
Raveendran’s brother, who cleared the dues, said the payments were done from “personal funds” and liquidation of personal assets.
The Supreme Court will take up Glas’ plea on Monday.
Byju’s did not immediately respond to a Reuters’ request for comment.
The education technology company has suffered several setbacks in the last few years, including boardroom exits, an auditor resignation, and a public spat with foreign investors over alleged mismanagement. Byju’s, currently valued at less than $3 billion, has denied any wrongdoing.
(Reporting by Arpan Chaturvedi in New Delhi, writing by Hritam Mukherjee in Bengaluru; Editing by Eileen Soreng)
