After reports claimed that the resignation of Madhuri Jain, head of controls at BharatPe, was accepted by the company, she wrote to the board saying there was no resignation offered by her. The fintech company told Economic Times that Jain, who is wife of co-founder Ashneer Grover, has not been asked to put in her papers, denying reports that Jain’s resignation was accepted by it.
The report further said that confusion ensued between board members and the top management of BharatPe after Managing director Grover offered the resignation of Jain at a board meeting on January 19. The incident was recorded in the minutes of the meeting, the report added. Grover later said the act was “spontaneous” and it was not accepted by board members.
In her letter, Jain said, her “alleged resignation” was “rather astonishing and defies every known norm of corporate governance and propriety… Neither did I have any information about the same (alleged resignation), nor have I tendered any such resignation.”
The so-called resignation was accepted by the board solely because I am Ashneer’s wife, Jain said, adding, “I would like to take this opportunity to remind the board that I am the head of controls at the company, and that my role goes further than just being limited to being the wife of Ashneer.”
Jain further said that she would resign once she is exonerated after a fair and independent review.
Jain on February 10 wrote to Alvarez & Marsal (A&M), the consultant currently probing the alleged irregularities at the fintech firm. In her letter, she questioned the recent media leaks pertaining to the ongoing investigation and the manner in which the probe was being carried out. According to an earlier report, the firm’s initial investigation allegedly held Jain, Grover and other family members responsible for financial irregularities at the company.
Jain, in her letter February 10 letter, demanded an internal investigation to find how the details of the A&M probe were leaked to the media and warned of legal action. Jain in her letter addressed to Manish Saigal, A&M’s managing director, said she was surprised to find that the report was neither provided to BharatPe nor to her, but instead was made available to medi.
“Even assuming that such a report does exist, it is common practice that where there is a report making allegations or casting aspersions against any individual, the identity of such an individual is kept confidential. ” Jain cast aspersions on the report, dubbing “eye wash” and an attempt to solely “tarnish” her reputation. The letter was also marked to all the board members of BharatPe. Through its legal firm, Shardul Amarchand Mangaldas, BharatPe had appointed A&M, a leading management consultant and risk advisory firm to advise the Board on its recommendations. Both Grover and Jain went on a “voluntary” leave of absence following the controversy which began with a viral audio clip in which Grover was heard hurling expletives at a Kotak Mahindra Bank employee.
