• Notification Date: 10-03-2022
• Notification No: N/A

MCA Looking at the Conduct of BharatPe Board

The Ministry of Corporate Affairs (MCA) is recently laying its eyes on the conduct of the Board of fintech unicorn BharatPe. According to the report received from some trusted sources, the matter is regarding the issue of Ashneer Grover.  

Ashneer Grover had resigned from his position as the managing director and director. He resigned within a few minutes after the board meeting had set its agenda to discuss the financial misdeeds of his family.   

In a text message sent on Wednesday, he assured to cooperate with the proceedings of MCA. He stated that he would cooperate with MCA as a responsible Indian Managing Director who has been wrongly accused. A week after the resignation of Grover, there has been a query regarding his share in the company. Whether the 9 per cent stake held by Grover in the company is entirely his own, is a matter of concern. Grover, along with the co-founder of the company Shashvat Nakrani, held a percentage of the third co-founder, Bhavik Koladiya’s shares. According to the Board, the co-founders are required to sort out this matter among themselves.

The copies of the Income-tax payments of Grover and his wife Madhuri Jain have arrived recently. According to the bank statements, the couple has made advance tax payments amounting to Rs.8.2 crore for the financial year 2021-22.

The former head of controls at BharatPe was fired last month for financial wrongdoings in the company. But Grover refused to clarify the authentication of his tax receipts.

Grover stated that after he has resigned from his position of MD, the company has been suffering huge losses. Hence, he will hold his stakes until the company’s shares rise again and new products get launched. He will hold his shares in the company until the business performance enhances once again.

Nakrani has declined all the accusations of Grover as false statements against the company. He added that the Board has decided to unseat him from his position after the report was received from the PwC.

Nakrani stated in a letter to the employees that the era of Grover was an aberration in BharatPe. It was not the norm at the company. He defended the Board which consists of some well-known names from the banking and financial industries.