The Enforcement Directorate (ED) has served show cause notices to Byju's, alleging violations under the Foreign Exchange Management Act (FEMA) amounting to Rs 9362.35 crores.

In a statement, the Adjudicating Authority under FEMA, 1999, issued Show Cause Notices to M/s Think & Learn Private Limited and Byju Raveendran based on a complaint filed by the Directorate of Enforcement (ED) under subsection (3) of section 16 of FEMA, 1999. The complaint pertains to contraventions of FEMA, 1999 provisions totaling Rs. 9362.35 Crore.

The ED initiated the investigation in response to various complaints regarding foreign investment received by Think and Learn Private Limited and the company's business conduct.

Allegedly, the company made significant foreign remittances and investments abroad, violating FEMA, 1999 provisions and causing a loss of revenue to the Government of India.

Searches were conducted at the premises of Think and Learn Private Limited and Byju Raveendran's residence on April 27 and 28, 2023. Documents related to all investments received by the company and overseas investments were seized during these searches.

According to the release, statements from Byju Raveendran and the Chief Financial Officer of Think and Learn Private Limited were recorded during the ED's investigation.

"On conclusion of the investigation, it was found that Think & Learn Private Limited & Byju Raveendran have contravened the provisions of FEMA by failing to submit documents of imports against advance remittances made outside India, by failing to realize proceeds of exports made outside India, by delayed filing of documents against the Foreign Direct Investment (FDI) received into the company, by failing to file documents against the remittances made by the company outside India and by failing to allot shares against FDI received into the company," the release added.