Due to delay in the submission of financial statements, audit firm Deloitte has resigned as auditors of Byju’s in mid-term with immediate effect. The other three board members of Byju’s, GV Ravishankar, MD of Sequoia Capital India, Russell Dreisenstock of Prosus and Vivian Wu of Chan Zuckerberg have also resigned due to some operational issues.
Now, the company has three board members – chief executive Byju Raveendran, Divya Gokulnath, and Riju Raveendran – all are from family.
“The financial statements of the Company for the year ended March 31, 2022 resolution of the audit report modifications in respect of the year ended March 31, 2021, and the status of audit readiness of the financial statements and the underlying books and records for the year ended March 31, 2022, and we have not been able to commence the audit as on date,” said Deloitte in a statement.
The statement also added, “Deloitte has been unable to “plan, design, perform and complete the audit in accordance with the applicable auditing standards.”
Deloitte was associated with Byju since 2016 and re-appointed as statutory auditor of Think and Learn Private Limited, (under Byju’s brand), for a five-year period starting from April 1, 2020, till 2025. But it has been resigned in mid-term with “immediate effect” stating that “the financial statements of the company are long delayed.”
The spokesperson said, “BYJU’S firmly denies these claims and urges media publications to refrain from spreading unverified information or engaging in baseless speculation. Any significant developments or changes within our organization are shared through official channels and announcements.
We request media outlets to rely on verified sources and official statements for accurate information regarding BYJU’S.”
On Thursday, BYJU’s appointed BDO (MSKA & Associates) as its statutory auditor for the next five years from the FY22. A Byju’s spokesperson stated that the reports were “entirely speculative” and resignation is a part of “planned transition”, also stated that “any significant developments or changes within our organization are shared through official channels and announcements.”
People reactions on this issue facing by Byjus: