Byju’s Founder Byju Raveendran and Directors Booked in Rs 47 Crore Fraud Case

The Economic Offences Wing (EOW) of the Mumbai Police has filed a First Information Report (FIR) against Byju’s founder Byju Raveendran and the company’s directors in a Fraud case worth approximately Rs 46.90 crore. The FIR, registered at the Vanrai police station in Mumbai, names Byju Raveendran, his brother Rijju Raveendran, his wife Divya Gokulnath, and the parent company Think and Learn Pvt Ltd.

The complaint was filed by Aditya Birla Capital, which had provided financial support to students enrolled at Byju’s for competitive exam preparation, including NEET, CET, IIT, and upsc coaching programs. According to the complaint, Aditya Birla Finance Ltd (now known as Aditya Birla Capital) sanctioned loans to students between October 2020 and May 2023. These loans required Byju’s management to complete mandatory verifications such as CIBIL scores and other eligibility checks.

As per Byju’s policy, students were offered an option to withdraw from the courses within 14 days and claim a full refund. However, the FIR alleges that the Byju’s founders unilaterally extended this refund period to 45 days. Despite cancellations, the company allegedly failed to return the loan amounts to Aditya Birla Finance Ltd, resulting in significant financial losses.

According to the FIR, this alleged misconduct initially caused a loss of Rs 24.99 crore. Over time, the loss increased, reaching a total of approximately Rs 46.90 crore for Aditya Birla Capital. The complaint accuses Byju’s management of cheating, misrepresentation, and withholding funds meant for refunds to students.

The matter first came to light in August last year when a representative from Aditya Birla Capital approached the Economic Offences Wing with a complaint. A preliminary inquiry was initiated, and following investigations, a formal FIR was registered against Byju’s earlier this month.

This case adds to the growing scrutiny around Byju’s, which has been facing financial challenges, regulatory probes, and corporate governance issues in recent months. The development is expected to intensify pressure on India’s most prominent edtech company and its leadership team.