BharatPe co-founder Bhavik Koladiya sues Ashneer Grover

BharatPe co-founder Bhavik Koladiya has dragged his former partner Ashneer Grover and the fintech unicorn to court to reclaim his shares in the company, according to a report by Economic Times. Koladiya, however, didn’t divulge any details and instead told ET, “I cannot comment on this matter as it is sub-judice now. You can speak to my attorneys.” Koladiya started Gurugram-based BharatPe in 2018 along with Shashvat Nakrani. They later onboarded Ashneer Grover as a co-founder and Managing Director. 

Koladiya quit the company in August 2022. BharatPe issued a statement announcing his departure, “Bhavik Koladiya has been associated with BharatPe as an Independent Consultant, guiding our Product and Technology teams. His contract tenure ended on July 31, 2022 and he expressed his desire to spend time on other assignments outside BharatPe.”

People aware of the matter told ET that his involvement in the company would have hindered fundraising talks with big institutional investors. Koladiya served a jail term in the US for running a grocery store and accepting digital payments without a license. And so, Koladiya had no choice but to step down and let go of his shares.

Conventionally, people pledge such shareholding to existing stakeholders with a call-option agreement, which is a contract between two or more parties under which the buyer earns the right to exercise his option to buy a particular asset from the seller for a specific period of time.

In multiple conversations, Grover has maintained that Koladiya had sold his shares to him and other buyers including Nakrani and early investors. However, in a statement, Koladiya told ET Prime he had triggered an agreement he had signed with Nakrani and Grover in 2018 to get his ‘pledged shares’ of BharatPe.

He also said that while Nakrani had honoured the deal following which he was expected to become a shareholder of BharatPe, Grover had not reverted.
 

Also Read: BharatPe's co-founder Bhavik Koladiya quits