The National Company Law Appellate Tribunal (NCLAT) on February 19 refused to grant an interim stay on the Committee of Creditors (CoC) from considering or rejecting Riju Raveendran’s proposed ₹158 crore settlement with the Board of Control for Cricket in India (BCCI) in Byju’s ongoing insolvency proceedings.

Raveendran, a director at Byju’s and the brother of co-founder Byju Raveendran, had moved NCLAT after the National Company Law Tribunal (NCLT) declined to close the insolvency proceedings through a settlement. Instead, the tribunal directed the CoC to take a final call on the matter.

The insolvency case was initiated by BCCI over Byju’s failure to pay ₹158 crore under its terminated sponsorship agreement. In an attempt to resolve the dispute, Raveendran proposed a full settlement of the dues, seeking to halt the insolvency process.

However, US lenders—who hold over 99% of the CoC—have strongly opposed the settlement, pushing for the continuation of the insolvency proceedings.

Raveendran’s plea at NCLAT sought a stay on the CoC’s deliberation over his proposal, but the appellate tribunal refused to intervene at this stage. With NCLAT’s decision, the CoC will now review and decide on the settlement offer.

Byju’s, once India’s most valuable edtech startup, is battling severe financial distress amid mounting legal troubles and a liquidity crunch. The case remains a key test for the company’s future, as creditors and stakeholders assess their next steps.