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any ideas? the exchange is turning him away and telling him the amount was not deposited to his account
You still havent explained everything clearly. You said you checked the transaction, but how? Did you check the TXID with a blockchain explorer? That should explain what happened. If the transaction is confirmed on the blockchain and the destination address is correct, then the issue is on the exchange's side.
I have checked the TXID and its correct and same address so then it would be the exchange itself?but why would a large exchange like bybit do that?
I dont think they would. At least not intentionally. Bybit is a reputable enough exchange to be trusted. So maybe they are having some technical difficulties or something else is at play.
Did you show that txid to customer support? That should be enough proof for them that you deposited coins to their address. What was their response to that? It would be nice if you could forward the message here as well so we can see. Just make sure to censor any private information you dont want to be made public.