ED Searches Byju’s CEO Raveendran’s Office, Residence In Bengaluru, Says ‘Incriminating Documents Seized’

According to ED, Byju's received foreign direct investment (FDI) worth Rs. 28,000 crore between 2011 and 2023. It remitted approximately Rs. 9,754 crore to various foreign jurisdictions during the same period in the name of overseas direct investment.

New Delhi: The Enforcement Directorate on Saturday carried out searches at the three premises in Bengaluru of Byju’s CEO Raveendaran Byju and his company ‘Think & Learn Private Limited’ (Byju online learning platform) under the provisions of FEMA. During the search, various incriminating documents and digital data was seized.

A total of three premises, two business and one residential, were raided recently under the provisions of the Foreign Exchange Management Act (FEMA), ED said in a statement.

According to the probe agency, the company received foreign direct investment (FDI) worth Rs. 28,000 crore between 2011 and 2023. It remitted approximately Rs.  9,754 crore to various foreign jurisdictions during the same period in the name of overseas direct investment.

It said the action was taken on the basis of “various complaints” received by private people and alleged that Raveendran Bjyu was issued “several” summons but he remained “evasive and never appeared” before the ED.

Byju and his firm Think & Learn Pvt Ltd has booked around ₹944 crore in the name of advertisement and marketing expenses including the amount remitted to the foreign jurisdiction.

Byju’s says searches related to ‘routine inquiry’

A spokesperson for BJYU’s legal team said the ED action was a “routine inquiry” and the company has been “completely transparent with the authorities and have provided them with all the information they have requested.”

It said the action was taken on the basis of “various complaints” received by private people and alleged Raveendran Byju was issued “several” summons but he remained “evasive and never appeared” before the ED.

The spokesperson for BJYU’s added: “We have nothing but the utmost confidence in the integrity of our operations, and we are committed to upholding the highest standards of compliance and ethics. We will continue to work closely with the authorities to ensure that they have all the information they need, and we are confident that this matter will be resolved in a timely and satisfactory manner.”

The company said it wants to “emphasise that it is business as usual at BYJU’S”.

“We are committed to delivering high-quality educational products and services to our customers across India and the world. We remain focused on our mission to transform the way students learn and prepare for their future,” it added.

About Byju’s

The Bengaluru-based company, co-founded by Raveendran Byju and his wife Divya Gokulnath, provides early learning, middle school education and test preparation. It was valued at USD 22 billion in a funding round in March 2022.

In October, it announced it will retrench 2,500 employees and hire 10,000 teachers over six months to rationalise cost.

Byju’s showed a loss of Rs 4,588 crore for 2020-21 19 times more than that of Rs 231.69 crore in 2019-20. Revenues during the financial year 2020-21 dropped to Rs 2,428 crore from Rs 2,511 crore in FY20.

The company is yet to release a financial performance report for FY22.