NCLT orders action against RP of Byju’s

BENGALURU: The National Company Law Tribunal (NCLT) has directed disciplinary action against the resolution professional (RP) managing the beleaguered edtech startup Byju’s insolvency case, citing misconduct and decisions that impacted the proceedings and stakeholders.
The tribunal issued a ruling mandating the reinstatement of US-based Glas Trust and Aditya Birla Finance to the Committee of Creditors (CoC). These entities had previously been removed from the CoC by the RP in the preceding year.
“The IRP has a duty to assist the tribunal with integrity in an honest and fair manner and the conduct of the IRP in the present case was filed with the intent to mislead the tribunal… The actions and decisions taken by the IRP are prejudicial to the interests of the CIRP process outlined by the IBC, 2016,” the tribunal said in its order on Wednesday.
With the conduct of the IRP being “not fit and proper as expected from an officer of the tribunal,” Judges K Biswal and Ravichandran Ramasamy also said that Insolvency and Bankruptcy Board of India may conduct the necessary investigation in this matter.