Latest news with #Gokulnath
Time of India
17-07-2025
- Business
- Time of India
Byju's goes to war: $2.5 billion lawsuit brewing against Glas Trust; here's what the matter is about
Representative image Byju's founders Byju Raveendran and Divya Gokulnath are preparing a $2.5 billion lawsuit in India and overseas as the edtech giant battles insolvency proceedings and a legal dispute with Glas Trust, trustee for Term Loan B lenders. According to their legal counsel, the planned legal action will be pursued both in India and internationally, targeting those who have allegedly harmed their reputation and business interests, including their edtech company Think & Learn. In a statement issued on Thursday by Lazareff Le Bars Eurl, Senior Litigation Advisor J Michael McNutt said, "Byju's founders reserve all rights to bring actions against those parties that have caused damage to them personally and their businesses, including Think & Learn. The conduct before the Courts by Alpha, Glas Trust and its counsel has been reprehensible and improper in our view. We reserve the right to use all legal means to obtain justice for Byju's founders. ' Glas Trust is the trustee representing lenders to whom Byju's owes $1.2 billion. However, the founders have contested the trustee's claims and challenged its authority. According to them, Glas Trust only represents 17.38% of the voting rights of the consortium of lenders. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like No annual fees for life UnionBank Credit Card Apply Now Undo The founders have already filed claims in India against Glas Trust and a former subsidiary of Think & Learn, which Glas now claims to control. Additional legal action is also being prepared in other jurisdictions. The lawsuits are expected to seek damages of no less than $2.5 billion. Byju's is currently undergoing insolvency proceedings initiated by Glas Trust. Though the National Company Law Appellate Tribunal (NCLAT) had earlier dismissed the case in an appeal filed by the BCCI, Glas Trust approached the Supreme Court, which allowed the Corporate Insolvency Resolution Process (CIRP) to continue. Byju's founders are contesting the insolvency case and have filed a plea seeking the removal of the Interim Resolution Professional, alleging a conflict of interest due to links with consultancy firm EY, which is also connected to Glas Trust. Meanwhile, Glas Trust has gained control of Byju's Alpha, a special-purpose financing vehicle created to receive Term Loan B funds. Byju's Alpha has filed a lawsuit against Raveendran, Gokulnath, and senior executive Anita Kishore, accusing them of executing a scheme to hide and misappropriate $533 million of loan proceeds. The founders' counsel has clarified that no court, either in India or the US, has ordered the payment of any amount by Raveendran or Gokulnath to Think & Learn or its affiliates. Raveendran is currently involved in legal proceedings in a Delaware court, which began in April 2025, but has challenged the court's jurisdiction. He has denied all allegations and is actively defending himself. He is also seeking reconsideration of a civil contempt order issued on July 7, 2025, related to the disclosure of certain information, which he claims is already under review in Indian courts. "That Civil Contempt Order concerns requests for information that are duplicative of matters already before the Indian Courts. Byju and his counsel are addressing those matters before the Indian Courts as well. Byju and his counsel are evaluating how to address that Order and reserve all rights," the statement said. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
India Gazette
17-05-2025
- Business
- India Gazette
"If we were sitting on millions of dollars, this would not be the situation": BYJU'S co-founder Divya Gokulnath
Dubai [UAE], May 17 (ANI): Refuting allegations of diverting any loan proceeds to herself and her husband, BYJU'S co-founder, Divya Gokulnath, has said the couple currently lacks the funds to even hire legal representation in a US court. In an interview with ANI, Divya Gokulnath remarked that if they truly had hundreds of millions of dollars, they would have had no trouble affording legal representation. Referring to judgements passed by a court in Delaware, she said, 'Today, in the US, judgements are passed back to back to us by one court. Because we don't have representation. Yeah. I'll show you emails where they say, give us a million dollars. Lawyers are saying, Give us a million dollars or we won't represent. Where do I get the million dollars from? If we were sitting on 533 million dollars, this would not be the situation, right? We would have been fighting in the courts. We would have thrown money at lawyers.' Gokulnath described the negative portrayal of BYJU'S and the personal attacks on her and husband, Byju Raveendran, as 'unfair'. 'Honestly, I don't care about the money. It comes, it goes. And Lakshmi can come and go. Saraswati is with us. Goddess Saraswati is always with us. For me, it's about the tarnishing which has happened, which I feel is so unfair. It was all about what we could do for our country. And not what the country can do for us. So we are a made in India, made by Indians, proudly made for the world's product, service, company, people, students-first company,' she added. She further stated that while many entrepreneurs were heading abroad to establish their ventures in pursuit of lucrative opportunities, their vision was to build BYJU'S as a homegrown 'Make in India' success story. 'At the time when people were going abroad and setting up their companies because that was much more lucrative, we resisted it. We said, no, this has to be a make in India story. We will make our products in India. We will give our services from India and we will be an example for the world in education. Because education belongs to India,' Gokulnath added. Notably, BYJU'S is fighting legal battles over unpaid debts across courts in the US and India. Divya Gokulnath also alleged that a targeted campaign of intimidation and pressure tactics was mounted aimed at isolating her husband, Byju Raveendran, by threatening those close to him, including family members, colleagues, and even legal counsel. Referring to incidents where unknown individuals reportedly visited the homes of management personnel, Byju Raveendran, the founder and the CEO of BYJU's, expressed concern, stating, 'People get scared when somebody walks in, intrudes into a home in the context of not having answers.' Despite all these troubles, Gokulnath asserted that it is the truth and the final mission that bind all of them together. 'I think indirectly that's what they're trying to say. They're saying stand-off, or maybe create a lot of reputational damage so that you say, okay, you know what, I'll stay out of this. It's not going to happen because there is something, there is truth that binds all of us together. There is the final mission that binds all of us together,' she asserted. (ANI)
