Following the reports of BharatPe MD and co-founder Ashneer Grover seeking removal of CEO Suhail Sameer from company’s board, co-founder Shashvat Mansukhbhai Nakrani has said that Sameer continues to enjoy his support.

“I have neither given my consent nor sought the removal of Suhail Sameer from the Board of BharatPe. News reports suggesting these are incorrect. I can confirm that I was one of the two joint nominees in the appointment resolution of Suhail Sameer as the CEO and Board member of BharatPe, and he continues to enjoy my support,” Nakrani said in a media statement.

Grover is also said to have written a note to the board members on February 2, asking them to remove the CEO Suhail Sameer from the board. On January 29, 2022, BharatPe’s board had announced that they are conducting an independent audit of the company’s internal processes and systems and had appointed Alvarez & Marsal to advise the board on its recommendations. 

A preliminary report by international consulting firm Alvarez and Marsal (A&M) which had been appointed to look into allegations of financial fraud by one of its co-founders & Managing Director Ashneer Grover and his wife Madhuri Jain Grover has indicated that there were indeed financial discrepancies. 

A copy of the report which was seen by BusinessLine indicates that the fintech firm was said to be paying recruitment fees to a number of ‘consultants’ for the employees recruited through them. In five such cases, employees have confirmed their joining date as the one mentioned in the vendor invoice but they had no knowledge of being recruited or engaged through the said ‘consultants.’ BharatPe on Friday though denied receiving any interim or final release of the independent review done by Alvarez and Marsal (A&M).

“We are deeply pained that the integrity of the BharatPe board or individual board members is being questioned time and again through misrepresentation facts and baseless allegations. The board in all its actions has followed due process in the best interest of the company. We would urge that the confidentiality and integrity of the governance review and board meetings is maintained by all. We request everyone, including the media, to show restraint and allow the governance review to take place in a thorough manner,” the company said in a statement.

Even as the controversy continued to swirl, Ashneer Grover speaking to a website denied all allegations and said that he was being arm-twisted by the board to exit the company. He was quoted as saying that he would do so only if his 9.5 per cent stake was brought out at a $6 billion valuation indicating a pay-out of ₹4000 crore.

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