Dive deep into the scandalous world of Byju’s downfall! Uncover the truth behind the company’s woes, as investors and entrepreneurs clash over accountability. Get the inside scoop on what caused the tech giant’s dramatic decline!
Accountability in the Edtech Sector
Byju Raveendran, the founder, and CEO of troubled ed-tech giant Byju’s, along with approximately 51 investors, are being held collectively accountable for the company’s recent setbacks, according to serial entrepreneur and investor Ronnie Screwvala.
Screwvala criticized the focus of investors during board meetings, suggesting that they were more interested in secondary investments rather than addressing crucial issues such as the absence of a Chief Financial Officer (CFO). He made these remarks while speaking at the ASU+GSV & Emeritus Summit in Gurugram.
Highlighting that one problematic company shouldn’t tarnish the reputation of the entire Indian ed-tech sector, Screwvala’s comments come at a time when the industry is facing challenges due to declining investments and the decline of Byju’s, which was recently in the news for not paying the salaries for January to its employees which was later cleared by Byju Raveendran.
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Ronnie Screwvala’s Criticisms and Call for Action
As the founder of UpGrad, a higher-learning startup, Screwvala has been vocal about his criticisms of Byju’s amid its recent crises. His comments precede a meeting he organized with ed-tech founders in Delhi to discuss key issues affecting the sector.
Screwvala previously expressed support on social media for the decision of major shareholders of Byju’s to convene an extraordinary general meeting to remove the current management and overhaul the board.
Screwvala emphasized the importance of active participation from board members and investors, urging them to ask pertinent questions and fulfill their fiduciary responsibilities. He suggested that proactive questioning could have altered the trajectory of certain companies, potentially leading to different outcomes.
Bhaarat Bulletin’s Shikha Rai, Bimal Dev, and Moneycontrol have contributed to the above report