The Bengaluru bench of the NCLT has halted the disposal of assets auctioned by Byju’s (Think and Learn Private Limited) following allegations that items worth ₹150 crore were sold for only ₹16 crore. The tribunal ordered the buyer, Comprint Tech Solutions, to preserve the goods. This dispute adds further complexity to the ongoing insolvency proceedings for the edtech firm.
The National Company Law Tribunal (NCLT) in Bengaluru has intervened in the asset liquidation of Think and Learn Private Limited, the parent company of the edtech firm Byju’s. The tribunal has issued a status quo order, effectively freezing the assets that were recently sold through an auction. This judicial action follows serious allegations that assets with a market value of approximately ₹150 crore were sold by the Resolution Professional for just ₹16 crore.
The controversy centers on an auction notice issued on August 2, 2026. The buyer, Comprint Tech Solutions (I) Private Limited, has now been legally restricted from moving, selling, or altering these assets until the next hearing, which is scheduled for September 21, 2026. To ensure the safety of the disputed property, the tribunal has directed the buyer to submit a detailed, sworn inventory of all purchased goods, including photographs and precise storage locations, within one week.
Challenges to the Insolvency Process
This development highlights the deepening legal uncertainty surrounding the insolvency proceedings of Byju’s. The legal challenge against the auction was initiated by the Resolution Professional of K3 Education Private Limited, a related entity, with support from the suspended directors of Byju’s. The petitioners have alleged significant procedural lapses, arguing that the asset sale failed to follow the rigorous valuation and transparency standards required under insolvency regulations.
A central point of the dispute involves the interpretation of the Insolvency and Bankruptcy Code. The petitioners claim that certain assets sold in the auction may technically belong to third parties and should not have been included in the corporate debtor’s estate. These allegations have raised concerns about whether the liquidation process has been conducted with sufficient oversight, prompting the tribunal to take protective measures to prevent the potential dissipation of contested property.
Monitoring the Liquidation
For creditors, employees, and other stakeholders, the integrity of the asset liquidation process is a primary area of focus, as it directly impacts the recovery of outstanding dues. The NCLT's decision to pause the disposal of these assets underscores the tribunal's intent to examine the transparency of the auction before allowing the process to continue. The key monitorable for those tracking the company’s insolvency will be the outcome of the September 21 hearing, which will determine whether the tribunal allows the sale to proceed or requires a formal re-evaluation of the assets to ensure a fair resolution.