ED Issues Look Out Notice Against Byju Raveendran: Report
The Enforcement Directorate (ED) has reportedly issued a look-out notice against Byju Raveendran, the founder and CEO of Byju”s. ANI, citing sources, reported that ED made this crucial move today, February 22. The report also said that this aims to prevent Byju Raveendran from leaving India.
In recent years, the ed-tech giant has witnessed a dramatic decline in both popularity and valuation. Meanwhile, the Hindustan Times reported that ED has renewed its lookout circular as part of its Foreign Exchange Management Act (FEMA) investigation. HT, citing people familiar with the matter, also said that the circular was renewed earlier this month with a provision that the probe agency should be informed about Byju Raveendran leaving the country.
In November 2023, ED reportedly issued show cause notices to Byju Raveendran and the parent company of Byju”s, Think and Learn Pvt Ltd. ED made this move over alleged violations by the company amounting to Rs 9362.35 crore under the foreign exchange law. In April 2023, the central agency conducted search and seizure operations at three locations connected to the company. The raids were held at the Bengaluru-located office and residential premises of Byju Raveendran.
On February 1, CNBC-TV18 reported that major investors in BYJU’s have issued a notice to the company, calling for an extraordinary general meeting (EGM). The EGM was reportedly to reconstitute the board of directors and change the existing leadership. According to the CNBC-TV18 report, investors cited persistent issues relating to corporate governance, mismanagement, and compliance. Byju Raveendran, cofounder and wife Divya Gokulnath, and his brother Riju Raveendran are the directors on the current board of Think and Learn.
