India’s top edtech company, BYJU’S, is making headlines again—but not for its learning app or growth. This time, it’s about Byju’s $2.5 billion lawsuit against Glas Trust, a U.S.-based lender’s agent. The legal fight has shocked the business world and raised questions about what’s really happening inside BYJU’S.
What Is Byju’s $2.5 Billion Lawsuit About?
BYJU’S founder, Byju Raveendran, says Glas Trust damaged his and the company’s image by making false claims. These claims were part of legal actions started by Glas Trust, which filed insolvency proceedings against BYJU’S for failing to repay loans.
In response, the company is preparing a massive legal case to claim $2.5 billion in damages in courts across different countries, including India. According to the official statement, the lawsuit will cover multiple legal areas, from business loss to harm done to the brand’s reputation.
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Why Is Glas Trust Involved?
Glas Trust is the representative of a group of lenders who gave large loans to BYJU’S. When BYJU’S couldn’t repay the money, Glas Trust began legal steps to recover the funds. This includes asking Indian courts to declare the company’s parent firm insolvent (unable to pay debts).
Since then, the trust has said that Byju’s $2.5 billion lawsuit is just a move to divert attention from the real problem—BYJU’S unpaid loans and court orders. Glas Trust has also stated that this lawsuit is a public relations trick to change the news story and avoid responsibility.
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#BYJU‘s founders, Byju Raveendran and Divya Gokulnath, are gearing up to file an over $2.5 billion suit against Glas Trust and others.
Read more ⬇️https://t.co/lMR1mYVD1r
— NDTV Profit (@NDTVProfitIndia) July 17, 2025
Allegations of Secret Payments Add Fuel to the Fire
As if the legal fight wasn’t enough, a new twist came from media reports. Some articles suggest that Byju Raveendran may have been involved in secret payments to Indian government officials while claiming bankruptcy in court. These reports, though not confirmed, have caused more doubt around BYJU’S and its leadership.
These secret payments allegations have not yet led to official charges, but they make the case more complicated. It also makes people wonder if the lawsuit is meant to delay or hide deeper problems in the company.
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Byju’s Troubles Go Beyond Just the Lawsuit
Even before this legal battle, BYJU’S was facing big challenges. The company has laid off hundreds of workers, delayed salary payments, and lost investor trust. Once valued at over $20 billion, the company is now struggling to stay afloat.
At the center of all these problems is Byju’s $2.5 billion lawsuit, which is either a bold step to protect its reputation or a risky move to cover up internal trouble.
What Happens Next?
The outcome of Byju’s $2.5 billion lawsuit could change the company’s future. If BYJU’S wins the case, it might help fix its image and slow down the legal actions against it. But if Glas Trust wins or proves that the case was only a distraction, BYJU’S could face even more legal and financial trouble.
Business experts believe this case will set an example for how startups handle global legal disputes and lender relationships. It’s also a reminder that fast growth without strong financial planning can lead to big problems later.
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Final Thoughts
Byju’s $2.5 billion lawsuit is more than just a legal headline—it’s a turning point in the company’s story. With courts, investors, and the public watching closely, what happens next could decide whether BYJU’S recovers or collapses.