Ex-BharatPe CEO Ashneer Grover, wife Madhuri Jain Grover summoned by Delhi Police over $9.7M fraud; key developments and implications in the fintech sector.

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Ashneer Grover, Madhuri Jain Grover

Alleged Fraud Case at Fintech Giant BharatPe

Indian entrepreneur Ashneer Grover, co-founder and former Managing Director of BharatPe, and his wife Madhuri Jain have been scrutinized by Delhi Police’s Economic Offences Wing (EOW).

They have been summoned over allegations of significant fraud at the fintech company BharatPe.

Background of the Case

Ashneer Grover, who played a pivotal role in founding BharatPe, stepped down from his position in February 2022.

The company later accused him and his family of financial misconduct, alleging damages amounting to Rs 81 crore (approximately $9.7 million).

FIR and Lookout Circular

An FIR was registered against Grover, Jain, and other family members, including Deepak Gupta, Suresh Jain, and Shwetank Jain, in May.

The situation escalated when, on November 17, Grover discovered a lookout circular issued against him and his family.

This revelation occurred when immigration officials barred their departure from Indira Gandhi International Airport in Delhi.

Grover and his wife were reportedly heading to the US for a vacation when this incident occurred.

Details of the Allegations

The allegations against Grover and his family are severe:

Misuse of Funds: Grover is accused of using backdated invoices to transfer funds from BharatPe for commission payments linked to recruitment.
Transactions with Fake Firms: He allegedly paid Rs 7.6 crore to bogus firms.
Embezzlement: Grover is also accused of embezzling cash to Rs 71.76 crore.
Penalties Paid: An additional Rs 1.66 crore was reportedly paid as a penalty to GST authorities.

Potential Legal Consequences

If convicted of these charges, the Grover couple could face severe legal consequences, including a jail term ranging from 10 years to life imprisonment.