BYJU Once Again Garnered Limelight For Looting Customers.
It seems that BYJU is entangled in oceans of malpractices and litigations, and there is no escape for the company soon.
A lady sued Madhya Pradesh’s district consumer court, accusing Byju’s manager, Bollywood star Shah Rukh Khan, of “fraudulent behaviour” and “unfair trade practices.” As a result, the court ruled that the fees be returned, and compensation be paid.
Priyanka Dikshit, an Indore resident, filed a complaint stating that she paid 1.8 lacks in fees to join Byju’s tutoring for IAS preparation in 2021 but received no coaching. As a consequence of her complaint, a district consumer court took action against Byju and Shah Rukh Khan, ordering them to return the money and pay compensation.
The complaint mentioned the fee was not refunded despite being promised a refund. She further alleged that deceptive and misleading web marketing on behalf of Byju’s rivals enticed her to join the coaching course.
Priyanka Dikshit identified Shah Rukh Khan as one of the defendants in the case, asserting that she was persuaded by an advertisement aired on January 13, 2021, and subsequently registered in Byju’s coaching programme to prepare for the Union Public Service Commission’s civil service exams. Accordingly, the Indore District Consumer Court ordered that the plaintiff should be reimbursed for her money.
Shah Rukh Khan was connected to the case for what reason?
According to Kanga, customers in India have the legal right to sue even those who promote the goods. According to the Consumer Protection Act requirements, a person may make a complaint against both the advertiser of a firm’s services and the company itself for service problems.
What did the panel of judges say?
The court noted that the 1.08 lakh in fees placed by plaintiff Priyanka Dixit at the time of admission in 2021 must be restored along with 12% annual interest, while 5,000 must be granted to her in terms of litigation cost and 50,000 in the name of compensation for financial and emotional suffering. The Indore District Consumer Court ordered both the local manager of Byju’s and superstar Shah Rukh Khan to pay the refund to Priyanka Dixit jointly or individually.
The ruling stated that because the respondents (Byju’s manager and star Shah Rukh Khan) remained away even after notifications on the matter were issued and no response was lodged on their behalf, they were subjected to unilateral action. According to Suresh Kanga, Priyanka Dixit’s lawyer, the Indore District Consumer Court has given Byju’s Indore-based management and star Shah Rukh Khan a 30-day deadline to comply with the judgement and repay the funds to Dixit.
Just wait if you think this is a 1st case. There are multiple similar events when BYJU has engaged in unethical behaviour, whether with customers or their staff.
Byju has been under fire from India’s top economic intelligence firm, the Enforcement Directorate, for allegedly sending more than INR 9,700 crore outside of the INR 28,000 crore in FDI it has received since 2011. Last week, the ED conducted searches at a Bengaluru company connected to the edtech behemoth.
The Byju family, on the other hand, described this as a formal investigation. The business stated that it had cooperated fully with the authorities and given them all the information they needed. The company is dedicated to keeping the highest standards of compliance and ethics and has complete faith in the reliability of our operations.
Conclusion.
A few years ago, suddenly, BYJU gained limelight and monetary profits and became one of the most successful unicorns in the country. This is followed by tremendous appreciation and goodwill for the company. But as the adage goes, ‘Early success is a scam’; similar happened with BYJU. Very soon, it was discovered that the company was involved in unethical practices with the customers and their staff. It seems that BYJU is entangled in oceans of malpractices and litigations, and there is no escape for the company soon.
Proofread & Published by Naveenika Chauhan
