NEW DELHI: Tax authorities in India are pursuing $101 million in unpaid dues from Byju’s, which is currently undergoing insolvency proceedings, according to claim documents Reuters reviewed on Friday.
The company, previously valued at $22 billion and backed by General Atlantic, has faced numerous regulatory challenges and a recent dispute with US lenders demanding $1 billion in outstanding payments, triggering the company’s insolvency and led to the freezing of its assets.
Pankaj Srivastava, a court-appointed resolution professional, is now managing Byju’s and inviting lenders, employees, vendors, and government entities to submit claims for unpaid dues.
According to documents on the Insolvency and Bankruptcy Board of India website, the department of revenue has filed a claim for $18.7 million, while the tax department of Karnataka, where Byju’s is headquartered, is seeking $82.3 million.
As of now, 1,887 creditors have submitted claims totaling over $1.5 billion, with most of these claims still under review. Byju’s, which operates in more than 21 countries and gained popularity by offering online education courses, employs approximately 27,000 people, including 16,000 teachers.
Byju’s faces insolvency after the Supreme Court stayed an order by the National Company Law Appellate Tribunal, approving the settlement between the company and BCCI, in effect reviving insolvency proceedings against the firm.
Byju’s on Saturday said that BDO Global, the auditor for Indian education technology company resigned after the startup failed to provide requested documents following the commencement of insolvency proceedings.
The company, previously valued at $22 billion and backed by General Atlantic, has faced numerous regulatory challenges and a recent dispute with US lenders demanding $1 billion in outstanding payments, triggering the company’s insolvency and led to the freezing of its assets.
Pankaj Srivastava, a court-appointed resolution professional, is now managing Byju’s and inviting lenders, employees, vendors, and government entities to submit claims for unpaid dues.
According to documents on the Insolvency and Bankruptcy Board of India website, the department of revenue has filed a claim for $18.7 million, while the tax department of Karnataka, where Byju’s is headquartered, is seeking $82.3 million.
As of now, 1,887 creditors have submitted claims totaling over $1.5 billion, with most of these claims still under review. Byju’s, which operates in more than 21 countries and gained popularity by offering online education courses, employs approximately 27,000 people, including 16,000 teachers.
Byju’s faces insolvency after the Supreme Court stayed an order by the National Company Law Appellate Tribunal, approving the settlement between the company and BCCI, in effect reviving insolvency proceedings against the firm.
Byju’s on Saturday said that BDO Global, the auditor for Indian education technology company resigned after the startup failed to provide requested documents following the commencement of insolvency proceedings.
