Byju's fraud probe still on, government denies reports of clean chit
A media story claiming that the Ministry of Corporate Affairs had cleared Byju's of financial fraud accusations has been refuted
Ankush Pandey
INTRO
- MCA provides clarification on the current inquiry into Byju's claims of financial malfeasance.
- According to false media claims, Byju's has been absolved of financial wrongdoing.
- The inquiry of financial malfeasance byju is still ongoing.
It has been made clear by the Ministry of Corporate Affairs (MCA) that the inquiry into claims of financial impropriety made against the edtech company Byju's is still underway.
In reaction to media allegations that Byju's had been exonerated of financial wrongdoing by the government, this statement was released on June 26.
According to a media report on Wednesday, the government probe cleared the floundering online education business.
The MCA, however, has denied these allegations, claiming that as the processes are still ongoing, no conclusion has been made."The proceedings initiated by MCA under the Companies Act, 2013, are still ongoing and no final conclusion should be drawn in this matter at this stage," stated the statement.
According to recent sources, Byju's has been exonerated of financial wrongdoing in the course of the Ministry of Corporate Affairs' (MCA) ongoing inquiry. Such reports are factually false and deceptive, as has been unequivocally stated," the MCA stated.
"The proceedings initiated by MCA under the Companies Act, 2013, are still ongoing and no final conclusion should be drawn in this matter at this stage," said the statement.
Bloomberg said on June 26 that the MCA's year-long investigation had turned up no proof of bank account manipulation or cash siphoning.
But the report also mentioned how the inquiry turned up violations of Byju's corporate governance, which added to the company's financial problems.
