Karnataka High Court attaches Aakash shares with beneficial interest linked to Byju Raveendran

The Karnataka High Court on Tuesday passed an ad-interim order attaching 17,891,289 equity shares of Aakash Educational Services Ltd. in which Byju Raveendran is stated to have a beneficial interest [Qatar Holding LLC Vs Byju Raveendran].

The order was passed in enforcement proceedings initiated by Qatar Holding LLC.

Justice Sunil Dutt Yadav held that the attachment was necessary to ensure that an earlier interim injunction granted in September 2025 is not rendered ineffective due to subsequent developments.

The earlier injunction restrained the award debtor from alienating or encumbering assets.

"Taking note of the interim order that was already passed on 01.09.2025, for the present an ad-interim order could be passed to ensure that the enforcement of the interim order of 01.09.2025 is not effected," the Court held.

The dispute traces back to a September 2022 funding transaction under which Qatar Holding advanced $150 million to Byju’s Investments under a cash-settled option arrangement. The funds were utilised to acquire shares in Aakash Educational Services Ltd., one of Byju’s largest acquisitions.

The transaction was secured by a share pledge and a personal guarantee from Byju Raveendran.

Under the arrangement, repayment obligations were to be met by March 31, 2025. Qatar Holding terminated the agreement in February 2024 citing defaults and demanded early repayment of $235 million.

Arbitration was commenced under the rules of the Singapore International Arbitration Centre.

In March 2024, an emergency arbitrator restrained the disposal of assets, an interim award that was subsequently enforced by the Singapore High Court.

In April 2025, the Karnataka High Court dismissed Qatar Holding’s petitions under Section 9 of the Arbitration and Conciliation Act, 1996, holding that once an arbitral tribunal is constituted, interim measures must ordinarily be sought under Section 17 before the tribunal. However, interim protections were continued for a limited period.

Following the tribunal’s partial final award, Qatar Holding approached the High Court seeking enforcement. Among the reliefs sought were an injunction against alienation of assets, attachment and sale of properties to satisfy the award, appointment of a receiver and disclosure of assets on oath.

In September 2025, the Court granted an interim injunction restraining alienation of assets.

Qatar Holding then moved an interlocutory application under Order XXI Rule 46 of the Code of Civil Procedure, contending that despite the September 2025 injunction restraining alienation of assets, there were subsequent transfers of shares in Beeaar Investco Pte. Ltd., the entity through which the Aakash shares are held.

The Court noted that the September 2025 order had expressly protected equity shares held through Beeaar Investco and beneficially owned by Raveendran.

Taking note of the alleged subsequent developments, the Court affirmed the earlier restraint and ordered attachment of the Aakash shares to secure the beneficial interest linked to the award debtor.

“It would be appropriate for the present to indicate that the order of 01.09.2025 is to be affirmed with an additional further direction that alienation of 17,891,289 shares… would stand protected by an order of attachment," the order said.

The Court, however, clarified that the arrangement is provisional.

“Needless to state, it is clarified that this is a provisional arrangement made for the time being and would be subject to final orders,” the order said.

The Court will now hear the case again after two weeks.

Qatar Holding LLC was represented by advocates Rishab Gupta and Abhay Shetty

Byju Raveendran was represented by advocate Rajath.

[Read Order]