The edtech agency can also be exploring out-of-court settlements with a few of its collectors.

New Delhi:

Refuting studies that an investigation by the Ministry of Company Affairs has cleared edtech agency Byju’s of monetary fraud, the Centre mentioned on Wednesday that the probe remains to be on. 

“It’s categorically clarified that such studies are factually incorrect and deceptive. The proceedings initiated by MCA beneath the Corporations Act, 2013, are nonetheless ongoing and no closing conclusion ought to be drawn on this matter at this stage,” the ministry mentioned in an announcement. 

The corporate, as soon as the apple of buyers’ eyes, has made headlines just for its free fall lately. A analysis word by HSBC mentioned that the agency, which was as soon as valued at $22 billion, is now price zero. 

The information studies on the ministry’s investigation mentioned it discovered that Byju’s didn’t siphon off funds or manipulate accounts. There have been, nonetheless, lapses within the firm’s company governance construction, the studies mentioned. 

HSBC’s analysis word assigned zero worth to funding firm Prosus’ almost 10% stake, as soon as valued at $500 million, in Byju’s.

“We assign zero worth to Byju’s stake amid a number of authorized instances and funding crunch… Beforehand, we valued round 10 per cent stake in Byju’s by making use of an 80 per cent low cost to the most recent publicly disclosed valuation,” the word mentioned. 

Byju’s is concerned in a number of instances in courts in India and overseas, in addition to within the Nationwide Firm Regulation Tribunal. It’s making an attempt to lift $200 million in a rights concern however has been restrained from utilising any funds by the tribunal. 

The edtech agency can also be exploring out-of-court settlements with a few of its collectors.