🚀 Medial Secures Investment on Shark Tank India - Fueling the Future of Professional Social Networking. 🔥

Startup Showcase

Premium Content

Try our Valuation Calculator →

News on Medial

Ahead of US hearing, Byju's says it is beneficial owner of $533 million fund parked in US

Economic Times

Economic Times · 1y ago

Ahead of US hearing, Byju's says it is beneficial owner of $533 million fund parked in US

Byju's, the edtech company, has clarified that its subsidiary in the US remains the beneficial owner of the $553 million funds, ahead of a US court hearing on their whereabouts. The funds were previously locked in a separate account after a dispute with investors. Byju's has stated that the money remains in a subsidiary, contrary to allegations made by some investors. The Florida hedge fund, Camshaft, has been asked to disclose the location of the funds or face possible sanctions. Byju's has emphasized that no money has been siphoned off and the usage of the funds is not restricted.

Related News

BYJU’S Says Funds Parked In High-Security Fixed Instruments As Lenders Brouhaha Over ‘Missing’ $533 Mn

Inc42 · 1y ago

BYJU’S Says Funds Parked In High-Security Fixed Instruments As Lenders Brouhaha Over ‘Missing’ $533 Mn

Edtech startup BYJU'S has responded to allegations that it parked $533 million from its term loan B in an obscure hedge fund. The company stated that its offshore subsidiary remains the beneficiary of the funds, which have been invested in high-security fixed income instruments. BYJU'S denied reports suggesting they were no longer the owner of the funds and clarified that there are no requirements to maintain cash as collateral under the credit agreement. This comes amid an ongoing legal battle between BYJU'S and its lenders over missing funds.

BYJU’S Says It Is Beneficiary Owner Of $533 Mn US Fund

Inc42 · 1y ago

BYJU’S Says It Is Beneficiary Owner Of $533 Mn US Fund

Edtech company BYJU'S has revealed that the $553 million, which it claimed it didn't have to pay salaries following a rights issue, is actually parked in an American investment firm. The subsidiary of BYJU's in the US has been disclosed as the beneficial owner of the funds, putting to bed fake narratives about the money being siphoned off. BYJU'S said the funds remain with one of its subsidiaries, Inspilearn LLC, and that the credit agreement with lenders doesn't restrict the usage or movement of funds.

Order maintains status quo: Byju's after US bankruptcy court orders hedge fund manager arrest

Business Today

Business Today · 1y ago

Order maintains status quo: Byju's after US bankruptcy court orders hedge fund manager arrest

The US court order directing the arrest of hedge fund manager William Cameron Morton for allegedly helping Byju's conceal $533 million from its creditors has maintained the status quo for the edtech company. Byju's stated that the funds are safely parked in one of its subsidiaries, which aligns with their previous claims. The court denied the request for the funds to be deposited into court, but issued a preliminary injunction to freeze the loan proceeds belonging to Think & Learn Pvt. The court also issued an arrest warrant for Morton, further complicating the situation.

BYJU’s Bankruptcy Case: US Court Pushes To Retrieve ‘Missing’ $533 Mn

Inc42 · 1y ago

BYJU’s Bankruptcy Case: US Court Pushes To Retrieve ‘Missing’ $533 Mn

US Bankruptcy Judge in Wilmington, Delaware, has lifted the arrest warrant for William C. Morton, founder of Camshaft Fund, after he transferred $533 million of loan proceeds from BYJU's to a UK lender and then to an unnamed non-US entity linked to BYJU's.

Ahead of US hearing, Byju’s says it is beneficiary owner of 533 mn fund parked in co subsidiary

Thehindubusinessline

Thehindubusinessline · 1y ago

Ahead of US hearing, Byju’s says it is beneficiary owner of 533 mn fund parked in co subsidiary

Byju's, the EdTech company, announced that its subsidiary, Inspilearn LLC, remains the beneficiary owner of the $553 million funds that are under scrutiny in a US court hearing. Byju's had previously stated that it was unable to pay employee salaries as the funds from a right issue had been locked due to a dispute with investors. The company clarified that the funds were transferred to Inspilearn LLC, a 100% subsidiary of Think & Learn, and denied allegations of any misappropriation. Byju's accused certain investors of spreading false narratives and pursuing unlawful actions against the company.

US court pulls up Byju’s co-founder Riju Ravindran for concealing $533 mn

Livemint

Livemint · 1y ago

US court pulls up Byju’s co-founder Riju Ravindran for concealing $533 mn

Riju Ravindran, co-founder of edtech company Byju's, has been penalized by a US court for contempt of court. The court found Ravindran in contempt for refusing to disclose the location of $533 million in term loan proceeds that he transferred from Byju's Alpha Inc. The court has also prohibited further transfer or use of the loan proceeds. The financial penalties imposed on Ravindran will be announced in a future hearing. Byju's has faced multiple legal cases from investors, vendors, and bondholders, adding to its existing challenges.

Byju's transfers $533 million to non-US subsidiary, Camshaft no longer in charge

Livemint

Livemint · 1y ago

Byju's transfers $533 million to non-US subsidiary, Camshaft no longer in charge

Edtech company Byju's announced that the $533 million it raised is in a 100% non-US subsidiary, and Florida-based Camshaft Capital Fund is no longer managing the funds. This follows disputes and allegations of concealment surrounding the funds, with potential legal consequences for Camshaft founder William Morton. Byju's clarified that the funds were transferred from the US subsidiary to another US subsidiary and finally to a non-US fund, denying any suggestion of funds being siphoned off. Byju's lenders are pursuing legal action to recover the money, while Byju's is confident in its ability to contest the acceleration of repayments.

US hedge fund exec left with ₹2 lakh to defend himself in BYJU'S case

Inshorts · 1y ago

US hedge fund exec left with ₹2 lakh to defend himself in BYJU'S case

William Morton, the hedge fund manager accused of helping BYJU'S hide $533 million from lenders, told a US court he is left with less than $3,000 (around ₹2 lakh) to defend himself. He requested the court to not let his lawyers quit. He also stated that BYJU'S had pledged to pay his legal bills but quit funding his lawyers.

How Byju's US lenders ran into a hedge fund wall

Livemint

Livemint · 1y ago

How Byju's US lenders ran into a hedge fund wall

Education technology company Byju's has bewildered its US lenders by shifting the ownership of $500 million borrowed by its subsidiary Alpha to an unnamed subsidiary. Byju's moved $533 million of the $1.2 billion loan to Camshaft Capital Fund, a hedge fund. When asked about the money's whereabouts, the hedge fund stated that Alpha is no longer a partner in the fund, leaving lenders unable to retrieve their funds. Byju's has faced legal challenges surrounding its loan and questions about corporate governance and execution. It is now looking to sell some of its assets to repay its debts.

Byju’s loan dispute: US court orders hedge manager’s arrest

The Arc Web

The Arc Web · 1y ago

Byju’s loan dispute: US court orders hedge manager’s arrest

William Morton, the manager of hedge fund Camshaft Capital, has been ordered to be arrested by a US judge. The judge has also imposed a $10,000 daily fine until Morton reveals the location of $533 million that Byju's had deposited in the fund. The money is part of a $1.2 billion loan that Byju's raised in 2021, and there have been court battles over repayment since Byju's defaulted on an interest payment. Morton, refusing to disclose the location, claims concerns for his safety and remains outside the US. Byju's is facing legal disputes on various fronts.

Trackers

Active Indian VC’s

OG Capital Email

With a hands-on approach, OG Capital aims to invest in over 20 promising...

Accel Partners Email

Early and growth-stage investments in disruptive technology companies with...

Early-stage venture capital firm investing in technology startups in India. Focus on...

Access All Trackers

Startup Showcase Winners

June 2025

Helping your parents when you are miles away

The Pit Stop Your Cravings Deserve

The next generation E-commerce platform

Enter Ongoing Startup Showcase

Top Users

Trending News on Medial

Just Months After Promotion, Open ...

Microsoft locks down a building a ...

Gaming Ban Stumps Cricket: Virat ...

Download the medial app to read full posts, comements and news.