The National Company Law Tribunal (NCLT) on May 22 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 hearing in all three cases, filed by publishing company McGraw Hill, BPO service provider Cogent E-services and supplier of automation control products AG Automation, is scheduled for July 3.
The NCLT bench gave Byju’s two weeks to respond and another week for the petitioner to file a rejoinder. Byju’s owes McGraw Hill Rs 1.43 crore and about Rs 6 crore to Cogent, the petitions claim.
This comes a day after Moneycontrol reported that a group of employees have appointed a lawyer and plan to knock on the doors of NCLT to demand their dues from Byju’s.
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 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. In the latest development, both Pai and Kumar now plan to step down after the completion of their one-year contract in June this year.
Other Insolvency Pleas
At least seven vendors have sued Byju's at NCLT to recover their dues. The edtech company is fighting an oppression and mismanagement plea filed by its investors in the NCLT.
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.
Subsequently, France-based Teleperfomance Business Services company, Glas Trust Company (the lenders), and digital marketing firm called Surfer Technologies all filed insolvency pleas.
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