In a dramatic turn of events, Divya Gokulnath, co-founder of Byju’s and wife of CEO Byju Raveendran, has claimed that her husband’s LinkedIn account was temporarily taken down. The removal came shortly after Raveendran posted explosive allegations of fraud and collusion involving Glas Trust, consultancy firm EY India, and former resolution professional Pankaj Srivastava.
Gokulnath, sharing screenshots of the post, asserted, “Byju’s post and account taken down. Investigating why. But no problem. Here we go again.” However, by the time of writing, both the account and the post had been restored.
US Court Ruling Adds to Byju’s Woes
This controversy follows a significant ruling by a US bankruptcy court, which found Raveendran’s brother, Riju Ravindran, and hedge fund Camshaft Capital guilty of fraudulent transfer of $533 million and breach of fiduciary duty. Riju, a co-founder of Byju’s parent company, Think & Learn Pvt Ltd, served as the sole director of Byju’s Alpha Inc. from September 2021 to March 2023.
The verdict came after Glas Trust, a consortium of lenders, accused Riju and Camshaft Capital of illegally transferring funds to evade debt repayment. The court ruled that Byju’s had siphoned off at least part of a Rs 9,960 crore loan into a small hedge fund in Miami to keep it beyond lenders’ reach.
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Byju Raveendran’s Bold Response
In his rare and defiant LinkedIn post, Raveendran broke his silence, declaring, “I am the Byju of BYJU’S, and I am here now. I should have been here sooner. But I was too busy building my company. Then I was too busy saving everything I built.”
He alleged that a whistleblower had exposed a “criminal collusion” between EY India, Glas Trust, and resolution professional Pankaj Srivastava. “Me and several employees received a document with conclusive evidence of this collusion,” he stated, urging authorities to conduct a thorough investigation.
EY India has denied the whistleblower allegations. Meanwhile, the National Company Law Tribunal (NCLT) has approved the appointment of Shailendra Ajmera, another EY official, as the new resolution professional—despite opposition from Raveendran’s legal team.
Amid mounting legal troubles and financial turbulence, Byju’s CEO remains defiant. “Those who believe in me make me strong. Those who do not, make me stronger. As they say, you can never defeat someone who does not give up,” he proclaimed.
With allegations, court battles, and internal conflicts escalating, the fate of the once-thriving edtech giant hangs in the balance.