Trustees of Byju’s Alpha Inc have filed a lawsuit in Delaware bankruptcy court alleging that $533 million was misappropriated through a series of dubious financial transfers involving company executives. Byju’s founders rejected the claims as baseless, describing the suit as part of a conspiracy to seize control of the company.

A US Bankruptcy Court ruling found that Byju’s suspended director, founder, a hedge fund, and the parent company engaged in fraudulent fund transfers and misleading financial reporting, resulting in legal actions and accusations of concealing financial information. The decision has raised serious concerns about the company's ethical business practices.

Byju's is under renewed government scrutiny as the Ministry of Corporate Affairs launches an inquiry into alleged financial misrepresentations and governance shortcomings. The probe, following previous reviews, comes amid legal disputes, insolvency proceedings, and a drastic drop in valuation, raising serious concerns about the company's transparency and accountability.

Byju's is embroiled in an insolvency crisis that has left thousands of employees unpaid for months. Facing the possibility of a shutdown and mounting legal pressures, workers are considering collective legal action and protests in response to labor mismanagement and failure to meet wage obligations.

The Ministry of Corporate Affairs directed a detailed investigation into BYJU'S following an inspection that revealed multiple financial irregularities and potential violations of the Companies Act. Investors have also approached the National Company Law Tribunal alleging financial mismanagement by the company’s founders.

As part of its business restructuring announced in October 2023, BYJU'S laid off 500 employees. The move, disclosed alongside the ongoing investigation into the company's financial practices, has raised concerns over the treatment of workers and labor rights within the organization.

An investigative report reveals that Byju's employees are subjected to harsh working conditions including excessively long hours, lack of breaks, verbal and physical abuse, and punitive measures against those who attempt to organize for better labor rights. The report documents multiple incidents where employees felt trapped and exploited, highlighting a pattern of management practices that suppress workers’ rights.

Byju's announced the layoff of over 1000 employees in June 2023, followed by an additional 400 job cuts in August, with multiple reports of employees not receiving timely wages or due clearances.

The article provides a case study on BYJU'S, detailing its meteoric rise followed by a dramatic fall characterized by aggressive sales tactics, steep workforce layoffs (from 58,000 to under 25,000 employees in June 2023), and regulatory scrutiny. These developments have raised serious concerns regarding ethical business practices and labor rights within the company.

In April 2023, the Enforcement Directorate conducted raids at Byju's Bengaluru offices and issued a FEMA violation notice worth approximately ₹9,362 crore amid allegations of financial irregularities.

In 2023, India's Enforcement Directorate raided the offices of Byju's, uncovering significant delays in financial filings and uncooperative behavior by founder Byju Raveendran. This event is noted as part of a broader clampdown on compliance within the ed-tech sector.

Byju's faced widespread scrutiny in 2022 amid delayed financial disclosures, accounting irregularities, and allegations of mis-selling courses. These issues spurred government inquiries and consumer court actions, highlighting serious ethical and transparency shortcomings.

An employee union in Bengaluru has accused Byju's of forcing resignations and engaging in unfair labor practices as part of a 5% job cut. The company denies these allegations, stating that each affected employee is being individually informed with the empathy they deserve.

In mid-2022, Byju's initiated widespread layoffs across its group companies, dismissing around 2,500 employees along with abrupt terminations and revised hiring practices. These actions have raised serious concerns over worker rights and a toxic work environment.