A Rajasthan-based vendor has filed a first information report (FIR) against 4B Network’s Rahul Yadav alleging fraud and criminal breach of trust, reported Economic Times on 19 August.
Identified as Vikas Om Prakas Noval, the vendor had filed the FIR under sections 406, 409, 420, and 34 of the Indian Penal Code.
As per details, Noval runs an advertising agency and alleged that Yadav’s firm defrauded them and owes them ₹10 crore for the work they did for 4B Networks in 2022.
“During February 2022-September 2022…. This company offers installation printing, display, mounting, bedding, and other advertising-related services … a total of 83 advertisement hoardings were put up by our company in different places in Pune city from April to August,” ET read the copy of the FIR.
Yadav’s firm is already undergoing a forensic audit by investor Info Edge for failing to disclose details of financial transactions and related-party activities when asked for by the investor, adds the report.
However, Info Edge in June disclosed to the stock exchange it had hired Deloitte to conduct the audit.
Citing ‘excessive cash burn, prevailing liquidity issues and significant uncertainty towards funding options’, the firm wrote off its equity investment of ₹276 crore in 4B Networks during the December 2022 quarter.
Though Yadav had dismissed all these allegations against him.
Founded in 2020, 4B Networks had helped real estate developers and brokers communicate with each other.
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Updated: 19 Aug 2023, 06:13 PM IST