Lenders of BYJU'S $1.2 billion term loan announced on Friday, February 28, that a United States (US) Bankruptcy Court in Delaware, has ruled against the EdTech firm’s suspended Director Riju Ravindran, Founder Byju Raveendran, hedge fund Camshaft Capital Fund, and parent company Think & Learn, holding them responsible for defrauding BYJU'S US entity, BYJU'S Alpha Inc, and its lenders, reported The Economic Times on March 1.
According to the lenders’ statement, the court confirmed that multiple fund transfers from BYJU'S Alpha were fraudulent and amounted to theft.
The judge noted that the company and its founders repeatedly concealed the whereabouts of Alpha’s funds, failed to provide financial statements detailing fund transfers, and ignored basic information requests from lenders.
BYJU'S Alpha filed for bankruptcy in the US in February after the company defaulted on its debt.
Meanwhile, four days ago, Byju Raveendran took to LinkedIn, writing, "I am the Byju of BYJU'S, and I am here now. I should have been here sooner. But I was too busy building my company. Then I was too busy saving everything I built… I have long been wanting to connect with you directly. But I was waiting for justice to be done and truth to prevail. Today, I do not want to wait. Today, I cannot wait."
Raveendran, a teacher and engineer from Kerala, began tutoring students in Bengaluru in 2005. His classes quickly gained traction. Over time, he transformed his venture into a digital learning platform that became one of India's most prominent EdTech companies.
