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BYJU’s with its border line extortion tactics invited the wrath of NCPCR

TFI Desk by TFI Desk
17 December 2022
in Business
NCPCR Byju's
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NCPCR summons BYJU’s: “Knowledge without justice ought to be called cunning rather than wisdom.” This statement of Plato explains what BYJU’s has been serving the society. They veiled their injustice with families by the fabric of knowledge. Now it is damaging the financial stability of parents seeking quality education for their children. So, National Commission for Protection of Child Rights (NCPCR) has decided to administer justice.

NCPCR takes charge and summoned BYJU’s CEO

NCPCR, chaired by Mr Priyank Kanoongo has summoned BYJU’s CEO, Byju Raveendran in person, on December 23. It is alleged that BYJU’s is indulged in malpractices to seek attention of parents and children to buy their courses.

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In a statement, NCPCR stated that “As the Commission has come across a news article wherein it has been pointed out that the sales team of BYJU’S is indulging in malpractices to lure parents to buy their courses for their children. lt has also been mentioned in the news report that some customers have also claimed that they were exploited and deceived, and had put their savings and futures in jeopardy”.

Further it was said that BYJU’s has been tricking customers into loan-based agreement. The refund after such an agreement may not be entertained.

NCPCR has used its power to summon Raveendran in person under Section 14 of CPCR Act,2005. The act provides the commission with all the powers of Civil court working by Civil Procedure Code,1908.

Also read: BYJU’S Public ratings are out and it’s not good news for them

Gulped the hard-earned money

To fulfil their monetary motives, BYJU’s charged heavily for its courses while knowing that most of the consumers belong to the middle class. Parents are always enthusiastic for their child’s education. Compromising their own need to fulfil their child’s dream is the mantra of Indian parents. And plundering money from their pocket on the name of education is the worst thing that an education institution can do. Well! It looks like BYJU’s is serving injustice for money not the education.

The dissatisfaction of people can be understood by consumer complaints of which about 62 percent were unresolved. Despite all this, BYJU’s has hired Lionel Messi as a brand ambassador.

According to The Hindu Business Line “BYJU’s is estimated to spend about $5-7 million per year for this agreement with Messi, depending on the rights the company is getting. This is in addition to the $30-$40 million that the company must have spent on sponsoring FIFA world cup.”

It happened after EdTech giant laid off 2500 employees out of fifty thousand due to losses. The losses raises yet another worry. In financial year 2021, the company reported a net loss of about Rs.4,588 crores. As compared to the cumulative losses of seven years between FY14 to FY20, FY21 losses were ten times. This clearly implies that people’s money and children’s hope are going into vain.

Also read: BYJU’s Messi move is the last flicker before the lamp extinguishes

Ray of hope

Imparting education is the best contribution to make for the society. Covid pandemic showed the need for a more technical approach regarding that issue. BYJU’s harnessed the situation and became the biggest EdTech player in India. But it failed to live up the expectations while the costs were incurred by the people and their children.

The summon by NCPCR is a ray of hope for most of the parents who were scammed by BYJU’s and are looking towards the government to get justice. It is high time that the government takes hard line and set an example so that the game of extortion played by BYJU’s pays them off and justice is served.

As per the reports, if Raveendran fails to comply with the order, he “will be subjected to the consequences of non attendance as provide in Rule 10 and Rule l2 of Order XVI of the Code of Civil Procedure,1908.”

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