Over a year after NestAway was sold in a rushed deal, the platform’s co-founder and former CEO Amarendra Sahu has leveled serious accusations against the company’s investors and fellow founders, claiming they committed fraud during the transaction.
Former CEO Files Criminal Case
Sahu has filed a criminal case against major investors such as Tiger Global, Goldman Sachs, Chiratae Ventures, and co-founders Jitendra Jagadev and Smruti Parida in connection with the sale. Notably, Parida had already left the company in 2019.
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The allegations were first reported by The Arc. In response to Sahu’s complaint, Odisha police in Bhubaneswar registered a first information report (FIR) on September 23, 2024. The FIR includes several charges from the Indian Penal Code, including sections on cheating, forgery, using forged documents, criminal intimidation, and conspiracy.
Key Details About the Complaint
Sahu’s complaint centers on his claim that his signature was falsely used in the sale of NestAway to Aurum PropTech for INR 90 crore on June 28, 2023. This occurred just days after he resigned as the company’s director.
In his complaint, Sahu also asserts that the lead investors pressured him into selling his 5% stake in exchange for an additional payment of INR 11.72 crore, money he says he never received. Additionally, Sahu accuses Jitendra Jagadev, the current CEO and fellow co-founder, of working alongside the investors to sideline him during the sale process and holding secret negotiations.
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Jagadev, however, denied the accusations, stating that similar claims were previously dismissed by the National Company Law Tribunal (NCLT) in Bengaluru. His legal team submitted this defense during a hearing by the Orissa High Court on December 19, 2024. Several other parties, including investors and co-founders, have sought relief from the court.
Chiratae Ventures’ request to quash the FIR was heard by the court on December 10, while Goldman Sachs’ plea was heard on December 13. A joint petition by both investors was then considered on December 18.
