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flag A U.S. court overturned a $1B ruling against Byju’s founder, citing procedural flaws, and set a new phase to assess potential damages starting Jan. 7, 2026.

flag A U.S. bankruptcy court in Delaware has reversed a $1 billion damages ruling against Byju’s founder Byju Raveendran, citing procedural errors including insufficient time to secure legal representation. flag The decision, issued December 8, 2025, nullifies the prior default judgment based on Raveendran’s non-compliance with discovery, but leaves open the possibility of future damages assessments. flag A new phase begins January 7, 2026, to determine if any damages are owed. flag Raveendran’s team denies diverting funds, claiming $533 million from a 2021 loan was reinvested in the company’s growth, including over $475 million in equity. flag They allege lenders and the resolution professional misled courts and plan a $2.5 billion counter-suit. flag No liability has been established.

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