The Resolution Professional (RP) for Think & Learn—the parent company of BYJU’S—has filed a ₹1,597 crore lawsuit against its Dubai-based distributor, More Ideas General Trading, claiming unpaid dues from Middle East sales. The case was lodged at India’s National Company Law Tribunal (NCLT) as part of BYJU’S ongoing insolvency process managed by EY‑backed RP Shailendra Ajmera
Who Is Being Sued and Why
The litigation targets More Ideas for allegedly withholding funds from sales under a revenue-sharing deal covering Gulf Cooperation Council (GCC) countries like the UAE, Saudi Arabia, Qatar, Oman, Kuwait, and Bahrain. The RP also named BYJU’S co‑founders and former directors—Byju Raveendran, Riju Ravindran, and Divya Gokulnath—asserting they are responsible for reimbursing the claimed amount
BYJU’S Founders Push Back
BYJU’S co-founders have rejected the allegations, labeling them as attempts by the RP to distract from earlier legal challenges they filed—including petitions for the RP’s removal and questions over GLAS Trust’s legitimacy in insolvency proceedings
Insolvency Context and Previous Cases
This lawsuit is one of several spearheaded by RP Ajmera. Earlier suits accused the co-founders of fraudulent asset transfers—including a disputed $533 million transfer—under India’s Insolvency and Bankruptcy Code The Economic Times. The RP is working to recover dues and strengthen the insolvency resolution plan.
Why This Matters
- Financial stakes: ₹1,597 crore (~US $190 million) adds significant pressure in an already complex insolvency.
- Governance scrutiny: The action intensifies focus on former directors’ fiduciary conduct.
- Cross-border complexity: International claims can slow down resolution and asset recovery.
Next Steps
The case is currently pending at the NCLT. The tribunal will review the claims, sponsor the summons, and assess the legitimacy of cross-border revenue-sharing obligations. This legal move could shift the landscape of the insolvency process.
Summary
The RP of BYJU’S parent firm has filed a ₹1,597 crore lawsuit against its Dubai marketing partner, also naming BYJU’S founders, over alleged non-payment for GCC sales. The co-founders deny the allegations, framing them as a legal diversion amid an ongoing insolvency dispute.
