Would Seek Accountability From BYJU’S: NCPCR Chairperson

After the National Commission for Protection of Child Rights (NCPCR) summoned edtech major BYJU’S cofounder and CEO Byju Raveendran over allegations of malpractices, the commission’s chairperson Priyank Kanoongo has said that the apex child rights body would seek ‘accountability’ from the edtech decacorn.

Raveendran was sent a summons by the NCPCR on December 17 (Saturday) and has till 2 PM on December 23 (Friday) to appear before the commission and explain the allegations levied against the edtech decacorn.

NCPCR has instructed Raveendran to provide details of the courses offered by BYJU’S, the structure of the said courses, fee details and refund policy, the number of students enrolled and other relevant documents.

Kanoogo was cited in an ET report stating that the summons sent to BYJU’S came after repeated complaints from parents about the edtech major’s alleged malpractices. 

After initial complaints, the NCPCR had written to the Ministry of Education. Following the NCPCR letter to the Education Ministry, the government issued an advisory for parents to be cautious when buying courses from edtech firms.

The NCPCR chairperson explained how in the residential colony where he stayed, maids and daily wage workers were allegedly lured by BYJU’S salespersons to sign documents and start loans in their names to pay for the courses.

“This is such a dangerous modus operandi,” the chairperson was cited as saying.

Kanoogo also said that the apex child rights body would not ‘spare’ BYJU’S if the edtech major is found flouting the government’s guidelines on edtech firms.

It should be noted that the NCPCR has the power to try the case as a civil case under Section 14 of the CPCR Act of 2005. The commission would conduct an inquiry and see whether the case warrants a police investigation.

Meanwhile, BYJU’S declined to comment when reached out by Inc42. Although, a spokesperson was cited by ET stating that the edtech major is compiling a transparency report to address the complaints, calling them ‘unsubstantiated’.

Sending the summons, the NCPCR cited a news article which alleged that the sales team at the edtech major was indulging in malpractices to lure parents into buying courses.

The commission also observed that luring parents or children into entering loan-based agreements was in contravention of set norms and regulations.

Media reports notwithstanding, the edtech sector has been one of the sectors which received the most complaints. According to a report by the Advertising Standards Council of India (ASCI), around 5% of all complaints registered between April and September 2022 were from the edtech sector.

BYJU’S has come under fire for several reasons over the past few months, including a funding crunch, mounting losses and high cash burn. The edtech major saw its losses balloon 20X year-on-year (YoY) to reach INR 4,588 Cr in FY21, with its income declining 3.3% during the same period.

Apart from that, BYJU’S and its group companies have laid off thousands of employees in 2022, contributing the highest to mounting edtech layoffs in the country.

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