High Court Directs Preservation of Crucial Emails

In a significant development, the Karnataka High Court has issued an interim order mandating the preservation of all email communications among stakeholders in the Byju’s insolvency case. This directive aims to ensure that these emails are available for the Corporate Insolvency Resolution Process (CIRP) or any subsequent investigations.

Legal Proceedings and Arguments

The order was passed following a petition by Byju Ravindran, a promoter and suspended director of the company, who argued that the emails serve as primary evidence in the ongoing proceedings before the National Company Law Tribunal (NCLT). The government advocate, however, highlighted that the investigation into a related crime has been temporarily stayed by another bench, complicating the matter.

Supreme Court’s Stance on IBC

Justice M Nagaprasanna emphasized that the Insolvency and Bankruptcy Code (IBC) is a comprehensive framework with adequate appellate remedies. The judge advised that any grievances regarding the Committee of Creditors (COC) meetings should be addressed to the NCLT or NCLAT, not through writ petitions.

The case has been adjourned to April 21, 2025, for further consideration.