BharatPe Resolves Dispute with Former Co-Founder Ashneer Grover BharatPe's settlement with Ashneer Grover ends their association, transferring his shares to a company trust and family trust while resolving all legal disputes, concluding their two-year conflict.
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Fintech company BharatPe has finally resolved its long-standing legal dispute with Ashneer Grover, its former co-founder and managing director. The conflict, which has been simmering since early 2022, came to a close with both parties reaching a definitive settlement. With the resolution, a turbulent chapter in BharatPe's history comes to a close, and the company's growth trajectory will once again be the center of attention.
Settlement Details
According to a statement from BharatPe, the agreement ensures that Grover will no longer be associated with the company in any capacity. He will also cease to hold any shares in BharatPe, with a portion of his shares being transferred to the Resilient Growth Trust, a special entity set up for the benefit of the company. The remainder of his shares will be managed by his family trust.
In addition to the share transfer, the settlement includes a clause that prevents both parties from pursuing any further legal cases related to the dispute. This effectively brings an end to the numerous legal battles that have plagued the relationship between Grover and BharatPe's stakeholders for the past two years.
Grover himself acknowledged the settlement in a public post, expressing his faith in the company's current management and board. "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," he stated.
The Bitter Feud
Since February 2022, Grover and BharatPe have been at odds with one another. Grover continued to level serious accusations against BharatPe's stakeholders, board members, and co-founders after he resigned in March 2022, alleging that his removal was a part of a conspiracy.
BharatPe, in turn, filed a criminal complaint against Grover and his family in December 2022, accusing them of fraud and seeking damages amounting to over INR 88.67 crore. The fintech giant also initiated legal proceedings through the Singapore International Arbitration Centre (SIAC), requesting the transfer of Grover's restricted shares to co-founder Shashvat Nakrani for INR 33.02 lakh. In addition, co-founders Bhavik Koladiya and Nakrani filed separate complaints against Grover in early 2023 concerning share disputes.
The situation took a more serious turn when the Delhi Police Economic Offences Wing (EOW) filed a first information report (FIR) against Grover, his wife Madhuri Jain, and other family members, following allegations of fund misappropriation. The EOW's investigation led to the arrest of Deepak Gupta, a relative of Grover, just last week.
A Fresh Start for BharatPe
The settlement not only concludes the contentious legal battle between Grover and BharatPe but also allows the company to refocus its efforts on growth and innovation. The Tiger Global-backed fintech firm has already made strides in resolving other legal issues, including its long-standing trademark dispute with PhonePe over the use of the suffix 'Pe.'
For BharatPe, the resolution of these disputes clears the path for further expansion and consolidation of its market position.
The settlement marks the end of a bitter chapter, but it also paves the way for new beginnings, both for BharatPe and for Grover. As both parties look to the future, the Indian fintech landscape will be watching closely to see how this resolution impacts their respective trajectories.
