Byju's logo.
Credit: Reuters Photo
New Delhi: The Enforcement Directorate (ED) has issued show cause notices to entrepreneur Byju Raveendran and his M/s Think & Learn Private Limited, which owns 'Byju's', on charges of violating foreign currency laws to the tune of Rs 9,362.35 crore.
In a statement on Tuesday, the ED said it had initiated investigations into complaints about the foreign investment received by the company and the business conduct of the company. It was also accused of making "significant foreign remittances outside India and investments abroad which were allegedly in contravention of provisions of FEMA, 1999 and caused loss of revenue to the government exchequer.
This led to ED searches at the premises of M/s Think and Learn Private Limited and the residence of Byju Raveendran on April 27 and 28 and seized documents pertaining to all investments received by the company as well as documents pertaining to the overseas investments made by the company.
The investigators also had recorded the statement of Byju Raveendran and the Chief Financial Officer of the company.
"On conclusion of the investigation, it was found that M/s Think & Learn Private Limited and Byju Raveendran have contravened the provisions of FEMA by failing to submit documents of imports against advance remittances made outside India, by failing to realise proceeds of exports made outside India, by delayed filing of documents against the Foreign Direct Investment (FDI) received into the company, by failing to file documents against the remittances made by the company outside India and by failing to allot shares against FDI received into the company," it said.