The Supreme Court on Wednesday stayed till “further orders” the August 2 order of the National Company Law Tribunal (NCLAT) by which the latter had set aside the insolvency proceedings against beleaguered education major Byju’s following the reported settlement of ₹158.9 cr dues owed by it with the Board of Control for Cricket in India (BCCI).

A bench headed by Chief Justice of India D.Y. Chandrachud passed the order on an appeal filed by US based lender Glass Trust Co LLC, represented by senior advocate Shyam Divan, assailing the NCLAT order on the ground that the purported settlement amount paid by Byju’s was tainted money.

The apex court directed BCCI to deposit the ₹158 crore amount received from Byju’s in a dedicated escrow account, until the court determines the dispute involved.

The bench, which included Justice J.B. Pardiwala and Justice Manoj Misra, passed the order while brushing aside objections from solicitor-general Tushar Mehta representing BCCI and senior advocate Abhishek Manu Singhvi for Byju’s that no stay can be imposed without fully hearing the board and the educational institution.

Mehta told the court that it would not be proper for the bench to pass any stay as the board was yet to make its submission.

However, the CJI pointed out that the court had only as an interim measure asked BCCI to deposit the amount of ₹158 cr in an escrow account and not with the court’s registry.

Divan told the bench during the arguments that the NCLAT had passed the impugned order setting aside the National Company Law Tribunal bench, Bengaluru, which had rightly approved the insolvency proceedings against Byjus.

The CJI then enquired from Singhvi whether both Byju Raveendran and his brother Riju Raveendran were both in Dubai and London, respectively, and are presently outside India.

The bench also wanted to know whether some 3,000 odd claims were filed before the NCLT Bengaluru against Byju’s.

However, Singhvi and Mehta submitted that the ₹158-cr settlement deed was accepted by the BCCI only on the condition that it would not accept any tainted money.

The apex court later listed the matter for further hearing to August 23.