Thu. Apr 18th, 2024


NEW DELHI: BYJU’s, a name synonymous with revolutionizing education, emerged from a small coaching centre to become India’s premier Ed-Tech giant. With expert teachers, high-tech classrooms, and cutting-edge apps, BYJU’s became the epitome of digital education in the country. However, the fortunes of BYJU’s took a sudden turn for the worse. The Enforcement Directorate (ED) has now instructed the Bureau of Immigration (BOI) to issue a lookout notice against BYJU’s founder and CEO, Byju Raveendran. This directive aims to prevent Raveendran from fleeing the country amid ongoing investigations.

 

 

The ED had previously initiated action against Think & Learn Private Ltd, BYJU’s parent company, and Raveendran under the Foreign Exchange Management Act (FEMA) in November 2023. The allegations involve a substantial sum of Rs 9,362 crores, accusing the company of illegally transferring funds abroad, resulting in revenue loss to the Indian government.

The company’s valuation plummeted by 86% over the past two and a half years. From Rs 30,600 crores in 2022, its assets dwindled to Rs 833 crores. Consequently, BYJU’s is grappling with financial constraints, struggling to meet employee salaries while accumulating debts.

The financial turmoil has led to salary delays for employees and mounting debts for the company. Despite revolutionizing education and amassing immense wealth, BYJU’s finds itself unable to sustain its operations, resulting in the unfortunate layoffs of thousands of employees.

From transforming the educational landscape to facing financial crises, BYJU’s journey reflects the highs and lows of entrepreneurship. As tonight’s edition of DNA dives into the factors contributing to BYJU’s downfall, it underscores the need for accountability and transparency in corporate governance.





Source link

Leave a Reply

Your email address will not be published. Required fields are marked *