In a significant development for the troubled ed-tech company Byju's, the Supreme Court of India has temporarily blocked the NCLAT's approval of a settlement between Byju's and the Board of Control for Cricket in India (BCCI).

On August 14, Chief Justice DY Chandrachud ordered that the Rs 158 crore paid by Byju's to the BCCI be placed in a separate escrow account pending further hearings. CJI Chandrachud stated, "Pending further orders, the settlement will be stayed.

The BCCI must keep the Rs 158 crore in a separate account." Solicitor General Tushar Mehta, representing the BCCI, opposed the stay, arguing that it jeopardizes their settlement with Byju's. The case will be revisited on August 23.

Byju's US-based lender, Glas Trust, challenged the settlement, alleging that the Rs 158 crore was "tainted" and claimed to be stolen funds. Riju Raveendran, Byju’s brother and shareholder, offered to cover the dues from his personal assets obtained from selling Think & Learn's shares.

Despite NCLAT's approval of the settlement on August 2, which had halted bankruptcy proceedings and restored control of the company to its founder Byju Raveendran, Glas Trust's appeal to the Supreme Court has cast uncertainty over the agreement.

Byju’s has faced various challenges, including executive departures, auditor resignations, and disputes with foreign investors, though it denies any wrongdoing