Fintech company BharatPe on Monday announced that it has reached a settlement with its former co-founder Ashneer Grover, following which he will not be associated with the firm in any capacity. “As part of the settlement, Mr Gover will not be associated with BharatPe in any capacity nor be a part of the shareholding of the company. Certain shares of Mr Grover shall be transferred to the Resilient Growth Trust for the benefit of the Company and his remaining shares will be managed by his family trust,” BharatPe said in an official statement.
BharatPe further added that both the parties have decided to not pursue the case. “Both parties have decided not to pursue the cases filed. We wish Mr Gover well. BharatPe continues to focus on delivering industry leading solutions to its merchants and customers driving growth with profitability,” the company said.
The development comes after legal tussles between BharatPe and Ashneer Grover started and the company accused the former co-founder and his family members of siphoning funds through fraudulent schemes between 2019 and 2021. BharatPe had accused Ashneer Grover and his family of causing losses of about Rs 81.3 crore. The allegations include improper payments to fake HR consultants, inflated costs from connected vendors, fake input tax credit transactions, illegal payments to travel agencies, forged invoices, and destruction of evidence.
BharatPe had lodged a criminal complaint in December 2022 against five individuals, including Ashneer Grover, his wife Madhuri Jain Grover, her brother Shwetank Jain, father Suresh Jain, and Deepak Gupta, seeking over Rs 88.67 crore in damages. The ex co-founder of BharatPe exited from the company in 2022 and Madhuri Grover and former Head of Controls at BharatPe, was also fired as part of the fallout.
Earlier in September, the EOW had arrested Deepak Gupta, the former Head of Procurement at Resilient Innovation, the parent company of BharatPe. Deepak Gupta is Ashneer Grover’s brother-in-law. However, if the investigations by EOW would stop after the settlement, is still unclear.
Meanwhile, after the settlement announced today, Ashneer Grover said that he continued to remain aligned with the company’s growth and success and maintained that he will no longer be associated with BharatPe. In a post on X (formerly Twitter), he said, “I have reached a decisive settlement with BharatPe. I repose my faith in the management and board, who are doing great work in taking BharatPe forward in the right direction. I continue to remain aligned with the company’s growth and success. I will no longer be associated with BharatPe in any capacity, nor be part of the capital table. My remaining shares will be managed by my Family Trust. Both parties have decided not to pursue cases filed. I hope BharatPe continues to grow and succeed for the benefit of all its stakeholders.”
