The change occurs months after the BharatPe board dismissed Ashneer Grover and his wife for financial malfeasance

A person with knowledge of the situation claimed that BharatPe has filed a lawsuit under Section 420 against Madhuri Jain, the former head of controls and wife of its former managing director Ashneer Grover.

On Thursday, the Delhi High Court will hear the case. The change occurs months after Grover and his wife were fired by the BharatPe board due to financial mismanagement.

The crime of defrauding and dishonestly procuring the delivery of property is addressed in Section 420 of the Indian Penal Code (IPC). The maximum penalty for the offense is a fine and a sentence of up to seven years in jail.

Grover chooses not to respond.

Grover and Jain were reportedly accused with alleged money-laundering in February, according to Mint. The firing was justified by the conclusions of a preliminary study by Alvarez and Marsal that was presented to the BharatPe board on January 24.

Grover and his wife’s employment with BharatPe was terminated by the board of directors after preliminary investigations revealed problems with vendor payments.

Financial discrepancy claims are based on alleged anomalies in hiring and acquiring third-party providers.

Later, Alvarez and Marsal were joined by PwC to look into the anomalies. PwC was hired to examine the fintech company’s transactions and confirm the internal controls of the business. Along with PwC and Alvarez and Marsal, the corporation also disclosed its own findings regarding the financial irregularities.

“The investigation has ended. Both the audit and the report have been completed. According to the article, BharatPe has filed a criminal case for over 80 crores worth of fraud, the source said.

Grover also lost an arbitration he brought against BharatPe, arguing that the company’s inquiries into him were unlawful, to the Singapore International Arbitration Centre (SIAC).

Senior counsel Abhishek Singhvi represented BharatPe at the time, while Grover was represented by Karanjawala & Co. Grover was fired from all of his BharatPe positions ten days following the SIAC decision.

BharatPe has retained MZM legal to handle its legal defense.

In addition, Grover has been promoting his upcoming book, Doglapan: The Hard Truth about Life and Start-Ups (Penguin).