No FEMA violations found so far after ED searches at Byju’s

NEW DELHI: The initial investigation after the recent searches at Byju’s have so far found no Foreign Exchange Management Act (FEMA) violations by the edtech firm, according to sources.

Sources indicated that the recent searches conducted on the premises of Byju’s in Bengaluru by Enforcement Directorate (ED) and the material collected has yet to establish any FEMA violations.

The investigations are still at an early stage and according to sources, Byju’s had cooperated and provided ED with all the necessary documents.

When contacted, a top ED official said the Byju’s investigation is ongoing and “we cannot comment on the ongoing investigation”.

The ED had earlier carried out searches at three premises linked to Byju’s in Bengaluru, in connection with alleged foreign exchange violations.

ED in a tweet had said that they collected various incriminating documents and digital data during its searches.

FEMA searches also revealed that the company has received foreign direct investment to the tune of Rs 28,000 crore (approximately) during the period from 2011 to 2023.

Further, the company has also remitted about Rs 9,754 crore to various foreign jurisdictions during the same period in the name of overseas direct investment.

A Byju’s spokesperson had said the ED visit “was related to a routine inquiry under FEMA and there has been no violations under FEMA by Byju’s.

“We have been completely transparent with the authorities and have provided them with all the information they have requested. We have nothing but the utmost confidence in the integrity of our operations, and we are committed to upholding the highest standards of compliance and ethics,” the company spokesperson had said.

The edtech firm said it will continue to work closely with the authorities to ensure that they have all the information they need.

“We are confident that this matter will be resolved in a timely and satisfactory manner. We want to emphasise that it is business as usual at Byju’s,” said the company.