BharatPe has reached a settlement with its former co-founder, Ashneer Grover, effectively bringing an end to years of legal battles and public disputes between the two parties. In a statement, a BharatPe spokesperson confirmed that as part of the agreement, Grover will no longer be associated with the company in any capacity, including its shareholding. "We wish Mr. Grover well. BharatPe continues to focus on delivering industry-leading solutions to its merchants and customers, driving growth with profitability," the spokesperson added.
Under the terms of the settlement, Grover will transfer a portion of his shares to the Resilient Growth Trust for the benefit of the company, while the remaining shares will be managed by a family trust. Both BharatPe and Grover have agreed to withdraw all legal cases against each other.
According to news reports, Grover will transfer 1.4 per cent of his stake to the BharatPe board, with the remaining 3.5-3.7 per cent going to the family trust. This arrangement will effectively remove Grover from the company's cap table.
Additionally, Grover has agreed to return shares to BharatPe co-founder Bhavik Koladiya. Koladiya had previously alleged that Grover failed to pay him for 16,110 shares (originally 1,611 shares) worth Rs 88 lakh, which were transferred to Grover. The issue led to a court battle in which Grover was barred from selling the shares.
The settlement follows the recent arrest of Deepak Gupta, a family member of Ashneer Grover, by the Economic Offences Wing (EOW) of Delhi Police. Gupta, the husband of Grover’s sister-in-law, was taken into custody in connection with the alleged misappropriation of BharatPe’s funds.
Gupta was arrested on September 19, 2024, and is expected to appear before the Chief Judicial Magistrate Court. This arrest is part of an ongoing investigation stemming from a criminal complaint filed by BharatPe in December 2022. The complaint named Ashneer Grover, his wife Madhuri Grover, her brother Shwetank Jain, father Suresh Jain, and brother-in-law Deepak Gupta, accusing them of defrauding the company of Rs 81 crore.
The EOW had filed an FIR against the Grovers and their associates in May 2023. Despite the settlement with Ashneer Grover, the criminal investigation into the financial misconduct remains ongoing.