Byju's and BCCI have agreed to settle their dispute over ₹158 crore of dues, the NCLAT was informed by founder Byju Raveendran’s lawyers. Byju's will be paying the BCCI on August 2 and 9 and the payment to BCCI will be made by Byju Raveendran's brother Riju- one of the largest shareholder of the company.
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The agreement has been questioned by the US-based lenders of Byju's who have asked NCLAT not to accept the settlement. Advocate Mukul Rohatgi, who is representing American lenders, called it a 'tainted settlement' which is being paid from ‘stolen money’ as US lenders said, “How can someone who cannot even pay salaries pay ₹150 crore out of the blue.”
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“Byju and Riju conspired and stole $500 million. It is our money which has been withdrawn by these fellows,” Mukul Rohatgi said.
This comes after NCLAT initiated insolvency proceedings against Byju's after the Board of Control for Cricket in India (BCCI) complained about its failure to recover sponsorship payments from the company. This dealt another blow to the edtech company which was valued at $22 billion in 2022 but has since suffered many setbacks in recent years, including boardroom exits and a tussle with investors who accused Byju Raveendran of corporate governance lapses.
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Byju's has also cut jobs and suffered a collapse in its valuation to less than $3 billion.
{{/usCountry}}Byju's has also cut jobs and suffered a collapse in its valuation to less than $3 billion.
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