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Ashneer Grover Directed to Substantiate Legitimacy of NCLT Appeal

The National Company Law Tribunal asked Giriraj Subramaniam, the lawyer of Ashneer Grover, to provide examples of similar cases

Ashneer Grover Directed to Substantiate Legitimacy of NCLT Appeal
Ashneer Grover, BharatPes co-founder and former MD with his wife, Madhuri Jain
POSTED ON December 07, 2023 11:50 AM

The National Company Law Tribunal (NCLT) has told the former managing director of BharatPe, Ashneer Grover, to prove why his complaint against the fintech company should be considered, as per a report by The Economic Times.  

Grover has claimed that the BharatPe's actions against him, and his wife are unfair. The tribunal, on Wednesday, heard arguments on the quantum of stake he holds in the fintech. 

In January of this year, Grover complained with the special court, alleging that the current chairman of the fintech company, Rajnish Kumar, is causing harm to the business.

Grover's lawyer, Giriraj Subramanium, argued that the special shares (CCPS) given to other investors in BharatPe are not the same as regular shares. NCLT then asked the lawyer to provide examples of similar cases. The hearing of the case was fixed for January 11, the report added.

Subramanium said he ( Ashneer Gover) can ask for help under certain sections of the Companies Act 2013 because he owns over 40 per cent of regular shares in the company. He also pointed out that other investors in BharatPe, who got special shares (CCPS), haven't turned them into regular shares.

The court asked Grover to show past legal decisions that say these special shares shouldn't be treated the same as regular shares when calculating how much of the company someone owns. If he can't do this, the court might reject his request.

Last week, Resilient Innovations which owns the fintech giant took legal action against Grover. The company filed a new case in the Delhi High Court to stop him from sharing what they consider to be confidential information about the company. On which Grover submitted an affidavit before the Delhi High Court that he would not disclose confidential details about his former employer and would honestly abide by the employment agreement.

His lawyer Subramaniam, appearing for Grover, told the court that he was also ready to apologise for Grover's posts on X (formerly Twitter).

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