The current and former employees of embattled edtech company Byju’s saw that despite pay slips indicating tax deduction, the company has allegedly failed to remit the tax deducted at source (TDS) to the government since as early as July last year.
Both current and former employees have stated that they have not received their Form 16, according to sources.
A group of the employees have been planning to take Byju’s to the National Company Law Tribunal (NCLT), a court where the company is already facing legal disputes with investors like Peak XV and Prosus, and multiple vendors whose payments have not been completed.
Meanwhile, for many of its employees, the embattled edtech company has not deposited monthly provident fund payments since December, according to data from EPFO.
A detailed questionnaire sent to the company by businessline did not elicit any response.
BCCI case
This comes at a time when the Bengaluru bench of the National Company Law Tribunal (NCLT) has admitted the Board of Control for Cricket in India’s (BCCI) petition seeking insolvency proceedings against the beleaguered edtech firm Byju’s.
BCCI had sought the initiation of insolvency proceedings against Byju’s over alleged unpaid dues of ₹158 crore. Byju’s had a sponsorship contract with the BCCI for the Indian cricket team.
Sources said the edtech major Byju’s will attempt to settle the matter with BCCI out of court, besides challenging the NCLAT order.
“As we have always maintained, we wish to reach an amicable settlement with the BCCI and we are confident that, despite this order, a settlement can be reached. In the meantime, our lawyers are reviewing the order and will take necessary steps to protect the company’s interests,” said a Byju’s spokesperson.
Byju’s ongoing crises
Meanwhile, tech investor Prosus wrote off its 9.6 per cent stake in Byju’s during the financial year 2024.
Byju’s is also entangled in an ‘oppression and mismanagement’ petition filed by investors such as Peak XV Partners, General Atlantic, and Prosus.