Sequoia-backed fashion technology start-up Zilingo has terminated its co-founder and CEO Anikiti Bose following an independent forensic investigation that looked into complaints of financial irregularities. 

“Following an investigation led by an independent forensics firm that was commissioned to look into complaints of serious financial irregularities, the company has decided to terminate Ankiti Bose’s employment with cause, and reserves the right to pursue appropriate legal action,” the company said in a statement. 

Zilingo said the company is disappointed to see the manner in which the board, investors, and employees have been allegedly attacked through leaked and fake information throughout the investigation period. “This has caused irreparable damage to the company, the board, employees and investors,” it added. 

Following the recall of loans by debtholders, an independent financial advisor was appointed, which is in the midst of assessing options for the business, the company said. Bose, in a separate statement, has told a financial publication that she has been terminated on the grounds of ‘insubordination’. “I have not seen the investigation reports done by the independent firms. I was not given sufficient time to produce any documents requested by them,” she said. 

Harassment plaint

She had previously been suspended when alleged irregularities in the company’s accounts were identified during the due-diligence process for a new funding round. Bose had denied the allegations and challenged her suspension and said that the allegation was triggered by the harassment complaint she filed against a company investor

Zilingo in the statement said that the past harassment-related issues brought to attention by Bose did not include any harassment complaints against investors or their nominees. A top consulting firm was appointed to look into the claims of harassment.

“The investigation has concluded that the company took appropriate action and followed due process to address these complaints that were brought to their notice,” it added.