Complied with all FEMA rules, says Byju's Raveendran

Byju’s CEO Byju Raveendran has said the education technology company has brought more foreign direct investment into India than any other startup. In a letter written to the staff after the enforcement directorate secrahed the edtech’s premises, he said the firm fully complies with all applicable foreign exchange laws.

“As we are funded by 70+ impact investors who have satisfactorily done due diligence on our operations, including all FEMA (Foreign Exchange Management Act) compliance, we are confident that the authorities will also come to the same conclusion,” Raveendran said in the memo.

India’s most valuable startup, Byju’s was once valued at $22 billion and has attracted global investors such as General Atlantic, BlackRock and Sequoia Capital.

The directorate had searched three premises linked to the company in Bengaluru on Saturday over alleged foreign exchange law violations.

The firm had received about Rs 28,000 crore FDI during 2011-23 , ED said, adding that the company remitted Rs 9,754 crore to various foreign jurisdictions during the same period in the name of overseas direct investments. In the mail to employees, Raveendran said the company had sent some money overseas to fund its international acquisitions.
“The recent visit by the ED is an enquiry under FEMA. The information requested by and furnished to the officers in connection with the FDI raised, overseas investments made, and cross-border transactions relating to marketing and branding activities by Byju’s has previously been submitted by our authorized representatives,” he wrote.

Byju’s, he said, has made several investments overseas amounting to over Rs 9,000 cr as a startegy to grow abroad.  He also said all the transactions were routed only through regular banking channels/the RBI’s authorized dealer banks and the requisite documentation and statutory filings have been duly submitted. He said Byju’s was fully cooperating with the authorities.

(With inputs from PTI)