NCLAT judicial member recuses himself from Byju’s-Amazon Web Services case

Mumbai: Justice Sharad Kumar Sharma, a member of the Chennai bench of the National Company Law Appellate Tribunal (NCLAT), has recused himself from one of the cases pertaining to bankrupt edtech firm Byju's in which Amazon Web Services is a party.

Sharma, in the recusal order, said, “Let the matter be placed before the chairperson for nomination of an appropriate bench.” The bench comprised Sharma and another technical member, Jatindranath Swain.

This is not the first time Sharma has withdrawn from a case related to the bankrupt platform Byju's. In July 2024, he recused himself from hearing an insolvency case involving Byju’s due to his prior association with the Board of Control for Cricket in India (BCCI).

The latest case was filed by Byju’s resolution professional Shailendra Ajmera, challenging the delisting of the Byju's app from Google Play Store in May  over alleged non-payment of dues to Amazon Web Services (AWS).

AWS had reportedly been trying to resolve payment issues with Think and Learn Pvt. Ltd, Byju’s parent, since April 2024. 

On 8 January, the National Company Law Tribunal (NCLT) had reserved its orders in three petitions: two filed by Glas Trust and Aditya Birla Finance seeking inclusion in Byju’s committee of creditors (CoC), and one from the BCCI seeking to withdraw its insolvency plea.

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On 29 January, the tribunal ruled only on the Glas Trust matter, admitting both Glas Trust and Aditya Birla Finance into the CoC. This overturned an earlier reconstitution of the panel made by interim resolution professional (IRP) Pankaj Srivastava on 31 August.

The NCLT also recommended disciplinary action against Srivastava, prompting him to challenge the ruling before the NCLAT. 

Srivastava argued that he was denied a fair hearing and that the tribunal’s decision against him were contrary to the established legal principles. He maintained that he had no vested interest in the case, did not withhold relevant documents, and made all necessary filings in a timely manner.

The matter will be taken up for hearing on 10 July.