Here Is The Timeline Of The Ashneer Grover Audio Clip Controversy That Led To His Resignation

BharatPe founder and managing editor Ashneer Grover resigned from his position today after he lost an arbitration that he had filed against the company. This decision came after his wife Madhuri Jain was terminated from the company.

So, where did it all go wrong? What series of events led to this? Let's find out.

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On February 4, reports emerged that an independent audit of BharatPe ordered by its board had found evidence of fraudulent transactions in recruitment and payments to non-existent vendors. Hours later, a letter the company¡¯s embattled cofounder Ashneer Grover sent to the board, in which he asked for CEO Suhail Sameer¡¯s ouster, was leaked.

Grover went on ¡®voluntary¡¯ leave until the end of March over an audio clip posted online in early January in which he allegedly abused and threatened a Kotak Mahindra Bank employee after missing out on Nykaa¡¯s initial public offering last year. According to Grover, the clip is fake.

On January 9, Grover and his wife Madhuri sent a legal notice to Kotak Mahindra Bank on Oct 31, 2021, for failing to provide financing in Nykaa¡¯s IPO. The bank says it will take ¡°appropriate legal action¡± against Grover over the contents of the audio clip.

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After the legal notice, on January 17, an email exchange between Grover and Sequoia India¡¯s Harshjit Sethi from August 2020 surfaces, in which the BharatPe cofounder allegedly used expletives over the course of the conversation. A few days later on January 19, Grover goes on 'voluntary' leave.

On January 29, the board announces an independent audit of BharatPe's internal processes and systems. The next day on January 30, Grover says he expects an amicable resolution with the board, even as he hires a Delhi-based law firm amid mounting pressure on him to leave the company permanently.

On February 4, reports emerged that a preliminary audit report, dated Jan 24, found evidence of fraudulent transactions in recruitment and payments to non-existent vendors. Hours after this news, it is revealed that Grover had written to board members on February 2 to remove CEO Suhail Sameer from the board.

On February 10, Madhuri, controller at BharatPe, writes to Alvarez & Marsal (A&M), questioning the consulting firm about recent media leaks. In her letter, she also questions the manner in which a probe into alleged irregularities at the fintech firm is being conducted. Her letter emphasizes that she was considering legal action against the firm, and has demanded an internal investigation on how the contents of the probe undertaken by A&M were allegedly ¡®leaked¡¯.

On February 11, BharatPe chief executive Suhail Sameer tells employees that findings of an ongoing governance review of the Delhi-based firm will be shared with the board in a couple of weeks while assuring them that the fintech firm has sufficient funds to tide over the crisis. Sameer also said that the company is ¡°under constant scrutiny and spotlight¡± and ¡°what is being written is nothing but unsubstantiated rumours,¡± in an attempt to assuage widespread concerns among the employees.

According to a report by ET, Grover sought protection from any future action against him as part of his settlement. He also filed an arbitration plea in Singapore, in order to protect his 9.5% stake in the company.

Outlook India

He wrote to the board, informing it of an alleged expletive-laden communication between himself and group product head Bhavik Koladiya that took place in the presence of board chairman Rajnish Kumar, who is a former chairman of SBI.

On February 23, the company terminates Madhuri Jain as the company¡¯s controller on charges of misappropriating funds. Jain had been in charge of BharatPe¡¯s finances since October 2018.

Kumar responded to Grover¡¯s allegations and said they would have ¡°no impact¡± on his reputation or the company¡¯s.

¡°Ashneer is being immature. There will be no impact of this on the company or myself. Everyone knows my credibility and these comments won't change that,¡± he said.

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