Byju’s woes: The National Company Law Tribunal (NCLT) has registered a new plea filed by four investors against Byju’s, the Indian Edtech major. The investors have accused the company’s management of oppression and mismanagement, according to a report by Moneycontrol. This marks the fifth legal challenge against Byju’s filed in the NCLT and the fourth in 2024 alone.
The plea, listed for hearing before a bench of judicial member K Biswal and technical member Manoj Kumar Dubey, was filed by a group of investors, including MIH Edtech Investments B.V, Peak XV Partners Investments IV & V, Sofina S A, and General Atlantic Singapore TL Pte. Ltd. As per the NCLT website, the suit names Byju’s founder Byju Raveendran, his wife Divya Gokulnath, his brother Riju Raveendran, and nine other entities as respondents, the report further added.
The mirage of calm at Byju’s vanished on February 23, with a battle for the Edtech firm’s control out in the open between significant investors and its founder. Rebellious investors called an extraordinary general meeting (EGM) where 60% of shareholders reportedly voted out founder and Chief Executive Officer Byju Raveendran, along with the board.
Byju Raveendran, Chief Executive Officer of Byju’s, however, claimed to employees that he retains control of the company he founded and that he plans to challenge shareholders who have voted to oust him, as reported by Mint.
“Contrary to what you may have read in the media, I continue to remain CEO, the management remains unchanged, and the board remains the same,” Raveendran said in a letter to employees on Saturday. “I am not taking any of these allegations lying down and will challenge these illegal and prejudicial actions.”
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