The National Company Law Tribunal ( NCLT ) issued notices to Think and Learn Pvt Ltd, the parent company of Byju’s, in three cases over non-payment of dues to operational creditors. Byju’s is in involved in litigation with at least seven vendors in NCLT amid an acute financial crisis.
The application was filed by publishing company McGraw Hill, BPO service provider Cogent E-services and supplier of automation control products AG Automation. It was found that Byju owes McGraw Hill Rs 1.43 crore and about Rs 6 crore to Cogent, the petitions claim.
It was held by the judge that Manager ‘not truthful’ on missing $533 million , Byju’s is going through a period of turmoil with its investor board members having left too, citing differences with founder and CEO of Byju’s Byju Raveendran.
The NCLT bench gave Byju’s two weeks to respond and another week for the petitioner to file a rejoinder. The company’s recently appointed CEO Arjun Mohan and CFO Ajay Goel have also stepped down. It attempted to solve some of the issues by setting up an advisory council with veterans such as Mohandas Pai and Rajnish Kumar.
The edutech company is fighting an oppression and mismanagement plea filed by its investors in the NCLT. The Board of Control for Cricket in India (BCCI) filed the first insolvency plea against Byju’s in November 2023. The cricket board claimed that the company had defaulted on a payment of Rs 158 crore. The plea is at an advanced stage of hearing at the NCLT.
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