India has launched an investigation into the financing and accounting practices at Byju’s following a previous inspection that uncovered corporate governance issues at the struggling online tutoring firm.

The federal government has asked the Registrar of Companies in Hyderabad to investigate Byju’s financial records to check for misreported statements and possible fund misappropriation.

The investigation identified shortcomings in Byju’s accounts, though specific details were not disclosed. The registrar’s office has one year to complete the report.

Byju’s, once India’s most valued startup, struggles in Indian and U.S. courts. India’s top court recently overturned a bankruptcy tribunal’s ruling that allowed Byju’s to settle debts, pushing the company into insolvency. Control of the firm is now with an insolvency resolution professional.

Emails to the spokesperson for India’s Ministry of Corporate Affairs and the insolvency resolution professional went unanswered.

According to Bloomberg News, a yearlong inspection by the Ministry of Corporate Affairs found corporate governance lapses at Byju’s but no evidence of wrongdoing.

Byju Raveendran, the founder, stated that his startup, once valued at $22 billion, is now worth zero. Major backers like Prosus NV have written off their investments in the company.

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