Mumbai Police Takes Action Against 4B Networks Executives for Alleged Fraud
- ByStartupStory | August 21, 2023
Mumbai Police’s Economic Offences Wing (EOW) has commenced legal action against senior executives of 4B Networks, a subsidiary of Info Edge. The individuals in question, Rahul Yadav and Sanjay Saini, are accused of defrauding an advertising company of over Rs 10 crore. The complainant, Vikas Om Prakas Noval, a director at Interspace Communication, alleges that Yadav’s company engaged in deceptive practices that led to a loss exceeding Rs 10 crore for services provided to 4B Networks in 2022.
During that year, 4B Networks entered contracts with Interspace Communication for services like installation, printing, and hoarding placements. Noval’s company invoiced 4B Networks for payment after completing the services, but while a partial payment was made, the remaining dues were not settled. Following Noval’s complaint, an FIR was filed, naming Yadav, Saini, and 4B Networks.
The charges include IPC sections 420 and 406 related to cheating and breach of trust. An ongoing investigation is underway. Info Edge’s proptech subsidiary, 4B Networks, faced controversy earlier and underwent a forensic audit after refusing to share financial data. Info Edge also wrote off its Rs 288 crore investment in the company. An arbitration process was initiated later to address the dispute.
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