Trouble Grows For Ashneer Grover As BharatPe Orders Independent Audit Amid Audio Clip Row

Madhuri Jain Grover, Grover’s wife who is head of controls at BharatPe, was also part of the conversation, and she has also reportedly gone on leave.

BharatPe Co-Founder Ashneer Grover (Getty Image)

New Delhi: BharatPe, which allows shop owners to make digital payments through QR codes, has ordered an internal audit after its co-founder Ashneer Grover's audio clip went viral on social media where he can be heard speaking in abusive language with a Kotak Mahindra Bank employee.

Meanwhile, dismissing certain media reports that claim Grover's termination from BharatPe, the company said that it has not sacked any employee at this stage.

"The Board of BharatPe has not terminated the services of any employee at this stage. Reports suggesting any termination are baseless and untrue. The Board remains committed to an independent and thorough audit process. No action has been taken or will be taken till the audit has been completed," a company statement said.

"We again urge the media not to speculate in advance of the report and make a judgement based on uninformed sources," the statement added.

BharatPe has appointed Alvarez and Marsal (A&M) to conduct an independent audit to bolster internal processes and systems.

According to a Reuters report, the audit will assess if senior executives of BharatPe are making internal disclosures in a proper way about personal investments, and check for conflicts.

"The Board of BharatPe is committed to the highest standards of corporate governance at the company and is doing an independent audit of the company's internal processes and systems," the company said in a statement.

"BharatPe, through its legal firm, Shardul Amarchand Mangaldas has appointed Alvarez and Marsal, a leading management consultant and risk advisory firm to advise the Board on its recommendations," it added.

On January 19, Grover had said he was taking voluntary leave until March. The company has come under intense scrutiny after an expletive-laced conversation allegedly between cofounder Ashneer Grover and a Kotak Mahindra Bank manager leaked earlier this month on microblogging site Twitter.

Madhuri Jain Grover, Grover’s wife who is head of controls at BharatPe, was also part of the conversation, and she has also reportedly gone on leave. The audio clip had the couple allegedly insulting the manager for not getting a shared allotment in Nykaa's initial public offering (IPO). 

The Grovers received massive backlash on social media.

Meanwhile, Ashneer Grover remained in the news with his presence on the popular business reality show Shark Tank India on TV, and his comments on the entrepreneurs pitching for funds that many found rude.