Byju's Ex-Director Riju Ravindran Fined $10,000 Daily Until $533M Missing Funds Found

New Delhi: Riju Ravindran, the brother of Byju’s founder has been ordered by a judge to pay 10,000 dollars (over 8 lakhs rupees) a day until he assists in locating 533 million dollars that the company is accused of hiding from US lenders. The directive comes amid a nearly two-year-old dispute over the missing funds, further intensifying the challenges faced by the troubled edtech firm.

Lenders have demanded the return of 533 million dollars after Byju’s defaulted on its obligations. Riju Ravindran is one of the three directors of Think & Learn Pvt., the company that runs the Byju's brand.

US Bankruptcy Judge Bendan Shannon has denied a request to pause the legal battle over Byju’s US debt which would have allowed Riju Ravindran and the company to find new lawyers.The American lawyers representing Riju Ravindran and Byju's units want to withdraw from the case, citing an "irreparable breakdown" in their relationship with the clients.

Riju Ravindran’s lawyers have been ordered by the judge to continue representing him and the company until at least a hearing next month. This decision follows a turbulent period for Byju's, which borrowed 1.2 billion dollars from US lenders in 2022. Within 18 months the company missed key financial reporting deadlines and had its offices raided by regulators in India. They also faced accusations of defaulting from US lenders.

Byju's has since faced accusations of fraudulently transferring 533 million dollars from a shell company in the US. Despite these allegations, the company has maintained that its actions were legitimate.