Days after the Board of Control for Cricket in India (BCCI) had filed a case to the National Company Law Tribunal (NCLT), earlier this month, the edtech giants, BYJU’S have agreed to settle the dues. The BCCI registered a case with the NCTL for the non-payment of INR 160 Crore sponsorship money after the expiry of the contract with the India cricket.
However, it has been more than six months of the contract expiration, the child company of Think and Learn Pvt Ltd., BYJU’S is now seeking to clear this sum of money. “We are in discussions with the BCCI to settle the matter and we hope to achieve that soon,” a company spokesperson was quoted as saying by Times of India.
Furthermore, according to the NCLT website, the bankruptcy tribunal heard BCCI and BYJU'S parent company, Think and Learn Pvt Ltd. On November 28, and the next hearing is scheduled for December 22.
BCCI and BYJU'S saga
It is to be further noted that BYJU’S had come onboard as the jersey sponsors for BCCI in 2019, replacing Chinese company Oppo. “BYJU’S will be taking over all obligations of the current team sponsor OPPO mobiles India private limited. The BCCI is pleased to welcome India’s leading education and learning app BYJU’S as the official Team India sponsor from 5th September 2019 until 31st March 2022,” BCCI quoted in its statement in May 2019. However, later in 2022, the contract was extended for a year but in January 2023, BYJU’S confirmed its withdrawal from the contract.
The edtech firm has been in some serious financial troubles after acquisitions and lack of fresh funding. Earlier this month, the Enforcement Directorate (ED) confirmed that it had issued a show-cause notice to BYJU’S alleging Foreign Exchange Management Act (FEMA) violations amounting to INR 9,000 Crore.