Byju s auditor Deloitte RESIGNS!

Byju s auditor Deloitte RESIGNS!-Byju’s seems to be in deep deep trouble!

• This comes at a time when 3 KEY-BOARD MEMBERS have also dropped their resignations due to differences with Byju Raveendran on key operational issues.

• The Company’s financial statements for the fiscal year ended March 31, 2022, are far behind schedule. Additionally, we have not heard from anyone regarding the resolution of the audit report modifications for the fiscal year that ended on March 31, 2021, nor have we heard anything regarding the readiness of the financial statements and the supporting books and records for an audit for the fiscal year that ended on March 31, 2022. As a consequence, we have not been able to begin the audit as of yet.
• As a result, we won’t be able to plan, create, carry out, and finish the audit in line with the relevant auditing standards, which will have a major impact on us. Due to the aforementioned, we are resigning as the Company’s statutory auditors with immediate effect.

What does this mean?

• • As a result, there are now substantial questions regarding the accuracy of the financial statements and other information generated by Byju’s, and the risk for auditors is increased because receiving no responses or resolution on important audit items and issue points undoubtedly raises many questions about the company’s operations.

• • Since there would be many inquiries and a great deal of compliance, resignation as an auditor of an entity is a last alternative for audit firms. There would have been more than just the statement from above if Deloitte had chosen to resign. Numerous client interactions, internal conversations, and analysis would take place.
  • The departure comes at a time when Byju is facing significant revelations and difficulties, including loan default, layoffs, the retirement of a key board member, and problems with the shareholding structure.

• Due to a delay in the financial statements for the fiscal year 2022, Deloitte resigns from Byjus’ Think and Learn as statutory auditors and names BDO as the new auditor.
• Byju’s selected BDO (MSKA & Associates) to serve as the company’s statutory auditors for the five years beginning with FY22 in place of Deloitte.
• Earlier this month, Byju’s laid off around 1500-2000 employees, defaulted on loan repayment, and sued the lender.