BYJU’S Accused Of Transfering Funds From US Units In Violation Of Bankruptcy Rule

BYJU’S is accused of transferring $700,000 from its US affiliates in violation of bankruptcy rules. A lawsuit filed in the federal court of Delaware alleges that the edtech giant siphoned funds to Whitehat Education Technology, bypassing bankruptcy proceedings. The funds were meant to be repaid to BYJU’S US-based creditors, who are engaged in legal battles to recover dues. This accusation adds to BYJU’S ongoing financial troubles, including a funding crunch and operational slowdown. The case highlights the complexities of international bankruptcy proceedings and the challenges faced by creditors in recovering funds from distressed companies.