Info Edge has launched a forensic audit against 4B Networks. The consumer internet company, which canceled its investment in a company founded by Rahul Yadav earlier this year, said the proptech startup did not share financial information despite repeated requests.
4B Networks did not respond to Info Edge’s notice to the stock exchange requesting information, including details of financial transactions and related party transactions (disclosure obligations under agreements). said.
InfoEdge has appointed Deloitte Touche Tohmatsu India as its Forensic Auditor. He will receive support and assistance from our legal advisor, Saraf & Partners Law Firm.
“4B Networks has repeatedly failed to provide such information to AIPL and has failed to respond to requests for information from the company on several occasions,” the exchange filing said.
Info Edge invested Rs.288 million in 4B Networks, including Rs.276 million as equity and Rs.12 million as debt. The company announced that it had written off its investment in 4B Networks in the third quarter of 2023.
Proptech startup 4B Networks was founded in 2020 by controversial entrepreneur Rahul Yadav, and Info Edge held a 57% stake in the company. The startup’s platform enables real estate developers and brokers to communicate and conduct business with each other through the brokerage network platform.
Rahul Yadav has been working in the real estate field for some time. His early ventures he merged with PropTiger, after which he left Housing.com in 2015 after having open disputes with investors, including SoftBank.