The Enforcement Directorate has sought a look out notice against Byju's founder Byju Raveendran ahead of edtech firm's Extraordinary General Meeting on February 23, said a report on February 22.
ANI reported that ED asked Bureau of Immigration to issue the look out notice to stop Raveendran from leaving India.
Karnataka High Court on Wednesday refused to stay an emergency shareholder meeting called by select investors of Think and Learn Pvt Ltd -- the owner of Byju's -- to oust Raveendran and his family from the leadership in the edtech firm.
Byju's had approached the Karnataka High Court seeking a stay on the EGM but the court only gave an interim relief that any resolution passed at the EGM on Friday cannot be implemented before the next court hearing. "It is further submitted that the conditions for convening the Extraordinary General Meeting (EGM) are not complied and no notice is issued as contemplated under Section 100 (3) of the Companies Act 2013," the court order said.
It further passed an interim order that "the decision, if any taken by the shareholders of the petitioner company in the EGM scheduled on February 23, 2024, shall not be given effect to, till the next date of hearing", the order said.
The next hearing in the matter is scheduled on March 13, sources told Moneycontrol.
In November 2023, ED confirmed sending a show cause notice to Think and Learn Private Limited and Byju Raveendran in a FEMA violation case.
The company and its founder have contravened the provisions of FEMA by failing to submit documents of imports, realise proceeds of exports made outside India, and so on, the law enforcement agency said in a statement on November 21, 2023.
“...By failing to submit documents of imports against advance remittances made outside India, by failing to realize proceeds of exports made outside India, by delayed filing of documents against the Foreign Direct Investment (FDI) received into the company, by failing to file documents against the remittances made by the company outside India and by failing to allot shares against FDI received into the company,” the ED added.
It also added that the complaint was filed by the ED with respect to the contraventions of the provisions of FEMA, 1999 to the tune of Rs 9,362.35 crore.
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