
HC Restrains Byju’s From Selling Assets in $235M Qatar Holdings Dispute
The court’s injunction marks another setback for Byju’s, as its founder confronts mounting legal and financial challenges in India, Singapore and the US.

The Karnataka High Court has restrained Byju Raveendran, founder of the embattled edtech giant Byju’s, from selling, transferring, or encumbering any assets, dealing a fresh blow to the company already grappling with insolvency, arbitration setbacks, and mounting legal battles across jurisdictions.
The interim injunction came in response to a petition filed by Qatar Holdings LLC, a subsidiary of Qatar’s sovereign wealth fund, the Qatar Investment Authority (QIA). The company is seeking enforcement in India of a $235 million arbitral award granted by the Singapore International Arbitration Centre (SIAC) earlier this year.
The Loan Deal and Dispute
The case traces back to September 2022, when Qatar Holdings extended a $150 million loan to Byju’s Investments Pte Ltd (BIPL), backed by a personal guarantee from Raveendran. The funds were earmarked for acquiring 17.89 million shares in Aakash Educational Services Ltd., a test-prep firm later central to Byju’s expansion strategy. The financing agreement explicitly barred any transfer of the pledged shares.
However, Qatar Holdings alleges that the shares were subsequently shifted to another Singapore entity controlled by Raveendran, in breach of the contractual terms. Following repeated payment defaults, the financing arrangement was terminated, and Qatar Holdings demanded an accelerated repayment of $235 million. Neither BIPL nor Raveendran complied with their repayment and guarantee obligations.
Arbitration Rulings and Global Freeze
In March 2024, an emergency arbitrator in Singapore ordered a global asset freeze of up to $235 million against BIPL and Raveendran to prevent dissipation. The Singapore High Court upheld this measure, and on 14 July 2024, SIAC directed immediate repayment of the full $235 million, with interest compounded daily at 4% from February 2024. The interest alone has since added more than $14 million, pushing the total liability to over $249 million (₹2,183 crore).
Developments in Karnataka High Court
At Monday’s hearing, Justice R. Natraj ruled that an interim injunction was necessary to prevent alienation of Raveendran’s assets in India until further proceedings. “In view of the above, the respondents are restrained by way of interim injunction from alienating, encumbering or transferring the properties till the next date of hearing,” the order stated.
Counsel for Qatar Holdings also sought attachment or sale of Raveendran’s assets in India to secure recovery. Meanwhile, Byju’s legal counsel Rishab Gupta argued that the company had not yet received a copy of the petition and requested additional time to respond. Gupta further submitted that the partial award is being challenged before the Singapore High Court, and assured that no asset transfers would take place until the next hearing.
Broader Troubles for Byju’s
The legal confrontation with Qatar Holdings is just one of several crises engulfing Byju’s. In June 2024, the company was pushed into insolvency proceedings in India after defaulting on a ₹158 crore payment to the Board of Control for Cricket in connection with its jersey sponsorship deal.
In the United States, the troubles have escalated further. A case before the US Bankruptcy Court for the District of Delaware accuses Raveendran, his wife and co-founder Divya Gokulnath, brother Riju Ravindran, and top executive Anita Kishore of diverting $533 million from Byju’s Alpha Inc., a US-based financing vehicle. The allegations have triggered contempt proceedings against Raveendran.
From Unicorn to Unraveling
Founded in 2011 by Raveendran and Divya Gokulnath, Byju’s quickly rose to prominence as India’s leading edtech startup, backed by global investors and achieving unicorn status. However, its rapid expansion, heavy borrowings, and mounting regulatory scrutiny have since plunged the company into a spiral of disputes with creditors and investors.
The Karnataka High Court’s interim order adds yet another hurdle for Raveendran, underscoring the precarious future of what was once hailed as India’s most celebrated startup.
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