The resolution professional (RP) overseeing the insolvency proceedings of Byju’s parent company, Think & Learn Pvt. Ltd., has approached the National Company Law Tribunal (NCLT) in Bengaluru against Google LLC and Google India Pvt. Ltd. in a fresh dispute over access to the edtech firm’s critical business data and digital services. The application, filed under Section 60(5) of the Insolvency and Bankruptcy Code (IBC), seeks the tribunal’s intervention in resolving issues that the RP argues are affecting the insolvency resolution process.
The latest legal action adds another layer to Byju’s complex insolvency proceedings, where resolution professional Shailendra Ajmera, supported by EY, is working to preserve the company’s assets and operations while addressing disputes involving key technology partners. The matter was listed before the Bengaluru bench of the NCLT this week, although the tribunal has not yet issued any substantive order on the application.
RP Moves NCLT Over Data Access Dispute
According to the filing, the dispute centers on access to essential company data and digital infrastructure managed through Google’s services.
The application has been filed under Section 60(5) of the Insolvency and Bankruptcy Code, which empowers the NCLT to adjudicate disputes arising during a corporate insolvency resolution process.
Case Snapshot
| Item | Details |
|---|---|
| Company | Think & Learn Pvt. Ltd. (Byju’s parent) |
| Resolution Professional | Shailendra Ajmera |
| Respondents | Google LLC and Google India Pvt. Ltd. |
| Forum | National Company Law Tribunal (Bengaluru Bench) |
| Legal Provision | Section 60(5), Insolvency and Bankruptcy Code |
| Core Issue | Access to company data and digital services |
Why Data Access Matters During Insolvency
During insolvency proceedings, the resolution professional assumes control of the company’s management and must retain uninterrupted access to operational systems, customer information, financial records, and digital infrastructure.
Such access is essential for:
- Preserving company assets.
- Continuing business operations.
- Managing employee and customer information.
- Conducting due diligence for potential bidders.
- Maximizing value for creditors during the resolution process.
Any disruption in access to cloud-based platforms or digital services can complicate the RP’s efforts to manage the business and execute the insolvency process efficiently.
Latest Development in Byju’s Insolvency
The dispute with Google is the latest in a series of legal and operational challenges facing Byju’s since insolvency proceedings began.
Recent developments have included:
- Ongoing litigation involving multiple creditors.
- Asset preservation efforts by the resolution professional.
- Legal disputes concerning operational control.
- Continued attempts to stabilize the company’s business during the insolvency process.
The application against Google highlights how access to digital infrastructure has become a critical issue in modern corporate insolvencies, particularly for technology-driven businesses whose operations depend heavily on cloud services and digital platforms.
What the NCLT Will Consider
The Bengaluru bench of the NCLT is expected to examine:
- Whether Google’s actions have affected the insolvency process.
- The resolution professional’s right to access company data and services.
- Whether directions are required to ensure uninterrupted operational access.
- The impact of any restrictions on preserving the value of the corporate debtor’s assets.
At this stage, the tribunal has only taken up the application for hearing, and no final determination has been made on the merits of the dispute.
Broader Implications
The case underscores the growing importance of cloud providers and technology platforms in insolvency proceedings involving digital businesses.
As more companies rely on third-party cloud infrastructure, disputes over access to digital assets, customer data, and enterprise software are becoming increasingly significant in restructuring and bankruptcy cases. The outcome of the matter could provide useful guidance on the obligations of technology service providers when their enterprise customers enter insolvency.
Looking Ahead
The fresh application against Google reflects the operational complexities involved in resolving the insolvency of a technology-first company such as Byju’s. Beyond financial restructuring, the resolution professional must also ensure uninterrupted access to critical digital infrastructure, data repositories, and enterprise services that are essential for running the business and preserving its value for creditors.
Looking ahead, the NCLT’s decision could influence how cloud service providers and digital platform operators engage with companies undergoing insolvency proceedings in India. Any clarification from the tribunal on the rights of resolution professionals to access digital assets may have broader implications for future insolvency cases involving technology and internet-based businesses.
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