Header Banner

Why BCCI Issued Notice to BYJU'S Company?

By Rohit - December 5, 2023 - Last updated on Dec 05, 2023 07:23 PM
Why BCCI Issued Notice to BYJU'S Company?

Image Source: BYJUS/Twitter

The Board of Control for Cricket in India (BCCI) has taken legal action against Edtech giant Byju's for failing to make a payment of Rs 158 crore. The cricket governing body has filed a case in the National Company Law Tribunal (NCLT) in Bengaluru, alleging that Byju's has defaulted on its contractual obligations. The case, titled BCCI v. M/s. Think & Learn Pvt. Ltd., seeks to initiate corporate insolvency proceedings against Byju's.

This legal action comes amid a growing scrutiny of Byju's' business practices. The company has faced allegations of misleading advertising, deceptive marketing, and unfair business practices. The BCCI's lawsuit is the latest blow to Byju's, which is facing increasing pressure from regulators and investors.

“It is stated that the General notice was issued to Byju’s vide email dated 06.01.2023 and the default amount of Rs 158 crore, excluding TDS (tax deducted at source) as reflected in the invoices attached,” said the order delivered on November 28, 2023.

Why BCCI Accused BYJU'S company?

Byju's, the troubled Edtech giant, is currently facing new insolvency challenges following a petition filed by the Board of Control for Cricket in India (BCCI) under Section 9 of the IBC 2016.

  • The BCCI petition, seeking to recover unpaid dues amounting to nearly ₹160 crore from Byju's, was presented before a NCLT Bengaluru bench.
  • NCLT Hearing: The matter was discussed on November 28, 2023, and Byju's has been instructed to submit its response within two weeks. The next hearing is scheduled for December 22nd.
  • Pressure Mounts: Byju's decision to abruptly terminate its jersey sponsorship deal with the BCCI, citing financial difficulties and a focus on profitability, has intensified the challenges.
  • Restructuring Efforts: In response to financial constraints, Byju's is actively undergoing strategic restructuring and leadership changes. The goal is to enhance operational efficiency, minimize losses, and attain profitability.

Also Read: International League T20 2024 All You Need To Know About

Give Your Feedback

Follow Us

Download our App for more Tips and Tricks

Possible11 Play Store Possible11 App Store
online game
online game
Footer Sticky Banner