The legal notice, sent through senior advocate C.V. Nagesh, alleges that EY was simultaneously engaged in sensitive financial advisory roles for AESL while also acting as the “exclusive financial advisor and official result validator” for Allen.
AESL claims that EY has been deeply involved in its financial operations since 2021, including advising on the proposed merger with BYJU’S parent company, Think & Learn Pvt Ltd, and structuring and converting debentures into equity. It has now come to light that EY also served as the “exclusive financial advisor and official result validator” to AESL’s direct competitor, Allen Career Institute.
In the legal notice, Aakash has demanded that EY withdraw from advising and acting as the resolution professional in Byju’s insolvency proceedings within seven days. If EY fails to do so, Aakash reserves the right to initiate legal proceedings against the consultancy firm, the notice stated.
The move comes as EY faces heat for initiating proceedings against AESL before the National Company Law Tribunal (NCLT), Bengaluru, in its capacity as resolution professional for Byju’s. AESL has called the insolvency plea “mala fide” and alleged it was filed with the intent to disrupt its operations.
“AESL had already issued notice to Mr. Ajay Shah of EY and also impleaded him and other partners of EY in the pending oppression and mismanagement petition filed by the RP of TLPL, who is also from EY, to respond to the allegations therein. AESL has now come to know that EY acted as the exclusive financial advisor and official result validator to a competitor, which is a matter of deep concern. AESL is examining initiation of further civil and criminal proceedings against EY in this regard,” shared Sanjay Garg, Head-Legal of AESL, in a press note.According to Aakash, EY failed to provide documents and communications related to key transactions despite repeated requests through emails dated April 12, May 6, and May 17, 2025. The company further stated that this refusal contradicts EY’s substantial involvement in AESL’s decision-making and execution of transactions, including the once-proposed merger with TLPL and matters related to the issuance and conversion of debentures.The notice names multiple EY officials, including Ajay Shah, Shailendra Ajmera, Riad Joseph, Dinkar Venkatasubramanian, Pulkit Gupta, and others. AESL has also asked EY to immediately cease its role in TLPL’s insolvency proceedings.
The notice gains significance in light of whistleblower emails from an EY employee, which allegedly expose orchestrated fraudulent insolvency proceedings against TLPL and applications filed against AESL at the behest of EY and GLAS Trust Co. LLC. These matters are currently under consideration by the NCLT, Bengaluru.
Garg further pointed to past disciplinary action against EY partner Dinkar Venkatsubramanian. “Such allegations are not new to EY. In the past, Mr. Dinkar Venkatsubramanian, Leader & Partner, Debt and Special Situations, EY India, was charged with professional misconduct and breaches under the Chartered Accountants Act and faced a fine, severe criticism, and reprimand for his actions and role. It’s high time that the affairs of EY are investigated at the highest level for professional dishonesty and violation of statutory norms,” he said.
