NCLT Freezes Byju's Parent TLPL Assets After Rs 150 Crore Inventory Sold for Rs 16 Crore

The Bengaluru Bench of the National Company Law Tribunal (NCLT) has ordered a freeze on assets sold during the insolvency proceedings of Think and Learn Private Limited (TLPL), the parent company of Byju's, following allegations that assets worth around Rs 150 crore were auctioned for only Rs 16 crore.

The tribunal directed Resolution Professional Shailendra Ajmera and the successful bidder, Comprint Tech Solutions, to preserve the auctioned assets in their existing condition until the next hearing scheduled for September 21.

Comprint Tech Solutions has also been asked to submit a detailed inventory of all assets purchased during the auction. The inventory must include the present location of the assets along with physical photographs.

The interim order was passed after several parties challenged the auction process and raised questions over the ownership of the assets included in the sale.

The NCLT noted that the ownership of several auctioned items remained unclear, raising concerns that assets belonging to other entities or third parties may have been included in the insolvency auction of Byju's parent company.

The Resolution Professional, however, has defended the auction and maintained that the assets sold were legally owned by TLPL. According to the RP, the sale was examined and approved by the Committee of Creditors and formed part of the corporate debtor's estate under the insolvency process.

The RP has also argued that the parties challenging the sale had failed to establish legal ownership over the disputed inventory.

The auction has faced criticism from other stakeholders, who alleged that it was completed in haste and that assets important to other companies within the Byju's group may have been included in the sale.

Byju's K3 Education Private Limited told the tribunal that it had been deprived of assets required for its own resolution process. The company also alleged that inventory records dating back to December 2024, which could have helped determine ownership of the disputed assets, were not presented before the tribunal.

Representatives of TLPL's suspended directors also questioned the decision to complete the auction within four days. They argued that such a rapid disposal required clear justification under the applicable insolvency regulations.

The dispute has raised questions not only over the valuation of the assets but also over the authority of the Resolution Professional to include all the disputed inventory in the auction.

The difference between the reported value of around Rs 150 crore and the auction sale price of approximately Rs 16 crore has further intensified scrutiny of the process. Stakeholders have questioned whether the assets were properly valued and whether the short auction period allowed sufficient competition among potential buyers.

For now, the NCLT has not ruled on the ownership claims or decided whether the auction was legally valid. Instead, it has ordered that the assets be preserved until the competing claims can be examined in detail.

The order prevents Comprint Tech Solutions from selling, transferring, altering or otherwise disposing of the purchased assets until further directions from the tribunal.

The latest dispute adds to the ongoing insolvency proceedings involving Byju's and its parent company, with the focus increasingly shifting towards questions surrounding the ownership, valuation and handling of assets during the resolution process.

The NCLT is expected to hear the matter again on September 21, when it will examine the competing ownership claims and the circumstances surrounding the disputed auction.