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Paytm-backed auto aggregator Jugnoo and one of the founders of vegetables delivery start-up SabKuchFresh are at loggerheads for alleged violations of shareholders agreement.
Jugnoo had acquired SabKuchFresh earlier this year, but now Arun Kumar, one of the co-founders of the Chandigarh-based start-up, has sent a legal notice of “rescission (cancellation) from shareholder agreement and employment agreement” to Socomo Technologies, the parent company of Jugnoo, alleging violation of the shareholder agreement. According to the legal notice sent by Kumar’s lawyers, a copy of which is with BusinessLine , Jugnoo struck a deal with SabKuchFresh to acquire 80 per cent for ₹80 lakh at an enterprise valuation of ₹1 crore.
The balance 20 per cent was to remain with promoter founders — Sudarshan Patel, Narendra Patel and Arun Kumar.
“Mr Samar Singla (founder of Jugnoo), unilaterally, had altered the above-mentioned terms of acquisition and had reduced the quantum of consideration, for the acquisition of 80 per cent stake in the company, to ₹64 lakh, on the basis that the valuation of the shareholding of the company was ₹80 lakh only.
“This resulted in a shortfall of ₹16 lakh from the earlier agreed amount of consideration,” the legal notice from Kumar’s lawyer stated, alleging also that Singla conspired to ease him out of the company post the acquisition.
The notice sent by Kumar’s lawyers states that, “The SHA clearly stipulated that all management decisions and operations would be carried on by the board of directors of the company, which would then be implemented by the Promoter Directors...
“Contrary to the same, the Addressee No 1 (Samar Singla), exercising powers of major shareholder in the company, orchestrated the appointment of one Mr Nitish Singh, as a superior authority over the board of directors and insisted on having the board of directors, especially my client (Kumar), report every day-to-day matter to him.”
Jugnoo’s lawyers have, however, dismissed these allegations as unjustified, misconceived and based on wrong presumptions.
Jugnoo has, in turn, blamed Kumar for starting another company, Agro Fresh, also in the grocery segment.
It also alleged that Kumar poached its employees for the new venture.
Jugnoo’s laywers, in a written reply to Kumar’s lawyers, said: “It is pertinent to mention that your client has concealed the material facts... thus has misused your good office for getting this false and frivolous notice issued against us.
“We also... deny each and every averment made by your client.”
Samar Singla told BusinessLine : “We acquired SabKuchFresh and one of the employees has left to start a competing venture. The founder of the company is working with Jugnoo. We haven’t received any legal notice, but are pursuing legal action against this individual who has started a new company in same domain.”
Several attempts by BusinessLine to reach the other founder of SabKuchFresh, Sudarshan Patel, remained futile.
Kumar told BusinessLine that, “Samar used to come and sit with us for hours in our office to understand the vines.
“Little did we know that he was planning to kill this business. I am left with no money. We did the deal in a good faith, but they cheated us.”
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