Delhi HC bars Ashneer Grover from selling BharatPe shares transferred by co-founder

New Delhi: The Delhi high court on Tuesday barred former BharatPe managing director Ashneer Grover from selling or making any third-party claims on the 16,110 shares transferred to him by co-founder Bhavik Koladiya.

The high court allowed an interim relief application filed by Koladiya in the share ownership case and said it has passed an interim order in the matter, pending final trial.

Last year, Koladiya had filed a commercial suit against Grover in the high court, seeking to reclaim shares transferred to him. Koladiya alleged a breach of the share purchase agreement dated 3 December, 2018, and claimed ownership of 16,110 shares, which is approximately 3.10% of BharatPe's shareholding.

The fintech company was founded in 2017 by Koladiya along with another co-founder Shashvat Nakrani. 

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The dispute originates from Grover's transition from CEO to co-founder of BharatPe after being initially hired by Koladiya and co-founder Nakrani in May 2018. 

In November 2018, Grover conveyed to Koladiya that investors were hesitant to invest unless Grover was on the cap table. Trusting Grover's assurances for the benefit of BharatPe, Koladiya agreed to transfer 1,611 of his 2,900 shares to Grover. This agreement involved a transfer price of approximately ₹88 lakh.

However, the conflict escalated in February and early March 2022, when Grover publicly claimed ownership of the 16,110 shares, asserting himself as BharatPe's largest shareholder. 

Despite Koladiya's requests for the return of his shares, Grover refused and reiterated his claim to the shares, identifying himself as the single largest individual shareholder of BharatPe.

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Grover resigned as MD and co-founder of BharatPe on 28 February, 2022, while Koladiya, the original CEO and founder, departed the company in July 2022.