BANGALORE: The ED conducted a search and seizure of digital data and incriminating documents from the premises under the jurisdiction of Byju’s Raveendram, the founder and chief executive officer of Think and Learn Private Ltd runs an ed-tech platform under the name, BYJUS.
The raids, ED said were carried out in connection to a case registered against the founder under the FEMA Act by several private persons. The agency said, “FEMA searches also revealed that the company has received foreign direct investment to the tune of Rs 28,000 crore during the period from 2011 to 2023. Further, the company has also remitted Rs.9754 crore to various foreign jurisdictions during the same period in the name of overseas direct investment.”
It further went on to say that the company had booked around Rs 944 crore in the name of advertisement and marketing expenses including the amount remitted to foreign jurisdictions for which it held no accounts. Officials learned that the company did not prepare its financial statements since FY 2020-21 and has not got the accounts audited which is mandatory.
“Hence, the genuineness of the figures provided by the company are being cross-examined from the banks,” the agency added.
Meanwhile, Bjyus legal spox who called the visit a routine inquiry under FEMA said, “The recent visit by officials from the Enforcement Directorate (ED) in Bangalore was related to a routine inquiry under FEMA. We have been completely transparent with the authorities and have provided them with all the information they have requested. We have nothing but the utmost confidence in the integrity of our operations, and we are committed to upholding the highest standards of compliance and ethics.”
It is worth noting that the ED mentions having issued several summons to the founder and CEO Raveendaran Byju, however, he always remained evasive and never appeared during the investigation.