BYJU'S, BCCI settle $19 million dispute case

BYJU'S-BCCI settlement 2024: Beleaguered edtech giant BYJU'S and the Board of Control for Cricket in India (BCCI) have agreed to settle a $19 million payment dispute, according to a lawyer representing BYJU'S founder. This development follows a Reuters report indicating that BYJU'S was close to finalising a settlement deal with the BCCI, aiming to resolve an insolvency process that has frozen its assets. Byju Raveendran, the company's founder, has been personally leading the negotiations.

Arun Kathpalia, a senior lawyer, revealed that the payment to the BCCI will be made by Riju Raveendran, Byju Raveendran's brother. While the total amount to be paid by BYJU'S remains unclear, Kathpalia confirmed that Rs 50 crore has already been paid to the cricket board.

BYJU'S and the BCCI did not immediately respond to Reuters' requests for comment.

Earlier this month, a company tribunal initiated insolvency proceedings against BYJU'S following the BCCI's complaint regarding unpaid sponsorship payments. This dispute adds to a series of challenges the startup has faced in recent years, including boardroom exits, conflicts with investors, and a dramatic decline in its valuation—from $22 billion in 2022 to less than $3 billion in 2023.

Despite these setbacks, BYJU'S has consistently denied any wrongdoing.

The National Company Law Appellate Tribunal, where the case is being heard, is scheduled to resume proceedings on Thursday.

(With Reuters inputs.)