Eleven executives including the CEO and founder of the Indian e-commerce company Snapdeal have been accused of cheating after the company allegedly dishonoured a contract with an event management company. A Bengaluru court has also directed the police to register a cheating case (IPC 420) against the company owning Snapdeal—Jasper InfoTech Pvt Ltd and the company’s executives, reported Arun Dev for The Times Of India.
According to the TOI report, the city magistrate court has also issued summons asking all the parties involved in the case to appear before the court before May 27. The private complaint was filed by an event management company, Dream Merchants. The company said that the police initially refused to register a complaint, which forced them to approach court in May 2016.
Dream Merchants, in its complaint, alleged that the e-commerce major dishonoured a three-year contract in which both the parties agreed that Snapdeal would sponsor Bangalore Fashion Week, and that the event management company cannot collaborate with any of Snapdeal’s rivals. The company said that Snapdeal did not honour the contract after the first year and Dream Merchants had to finance the whole event by themselves.
The TOI report quoted the VIII Additional Chief Metropolitan Magistrate’s order made in March.
"There are prima facie materials to show the accused induced the complainant to build a fond hope of association for the editions of Bangalore Fashion Week and made the complainant to believe them and enter into agreements with vendors, hotels/venues, models, designers and other co-workers executing promised editions of BFW and misrepresented the complainant while entering into the sponsoring agreement; and without proper reason terminated the agreement unilaterally, causing huge loss to the complainant."
A statement from Snapdeal on the same said, “The company is yet to see the complaint filed against it. The company will take all appropriate legal steps to defend it and its employees against all baseless allegations.”