Byjus advisory board members Rajnish Kumar and Mohandas Pai will resign at the end of this year

This occurs when the business is engaged in several court cases before the National Company Law Tribunal against its stakeholders.

The parent business Think and Learn Pvt Ltd and its two advisory board members, Rajnish Kumar and Mohandas Pai, have opted not to extend their contract this year, according to a statement released by the troubled edtech company Byju's on May 19.

This occurs when the business is engaged in several court cases before the National Company Law Tribunal against its stakeholders. Byju's and the two members of the advisory board have a contract that ends at the end of June.

"We always had a one-year fixed-term adviser relationship with the corporation. It was agreed unanimously not to prolong the advisory council's term after our conversations with the founders. Even when the official engagement ends, the company's founders are still welcome to contact us for guidance. In a joint statement, Kumar and Pai wished the company's founders all the best for the future.

In a statement, the firm expressed how much it values their relationship and is grateful for all of their efforts in helping the company get through difficult times.

Indeed, in July of last year, the firm appointed Pai, the chairman of Mastercard India Kumar and one of its original supporters via Aarin Capital, to its board advisory committee in order to advise and counsel CEO Byju Raveendran on important issues.

Over the last year, Mohandas Pai and Rajnish Kumar have been a huge help. Byju Raveendran, the founder and CEO of Think & Learn Pvt Ltd, said, "The ongoing litigation by a few foreign investors has delayed our plans, but their advice will be relied upon in the ongoing redevelopment which I am personally leading."

The pile of problems for Byju

The event occurs at a time when Byju's, the company's founder and CEO, is severely short on cash due to Byju Raveendran taking on further personal debt to pay staff.

As instructed by the NCLT, the money received from the recently finished rights issue is being held in an escrow account until the aforementioned lawsuit is resolved. For payment, at least seven suppliers have filed lawsuits against Byju's at NCLT.

Additionally, the business has started to fire workers over the phone, terminating them without offering them a performance improvement plan (PIP) or a notice period. Over 10,000 workers have been let go by Byju's in the last 12 months as the company has struggled with dwindling venture capital investment and a decreasing market for online learning services. Members of its investor board have now departed as well, citing disagreements with Raveendran.

Since then, the business has made an effort to address a few of the issues. Ranjan Pai, an early investor, contributed the funds. It established an advisory council including of seasoned professionals like Mohandas Pai and Rajnish Kumar, who intend to resign immediately at the expiration of their one-year term. Arjun Mohan, who was also promoted to CEO by the firm, recently made the decision to resign from the role. It is also in discussions to sell off properties like Epic and Great Learning in the meantime.