Rahul Yadav and Sanjay Saini of 4B Networks have approached a Mumbai court for anticipatory bail. This is in connection to an allegation of cheating and defrauding a vendor, Interspace Communication Pvt Ltd, to the tune of Rs 10 crores.

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As CNBC-TV18 had reported last week, the Economic Offences Wing (EOW) of the Mumbai Police had filed an First Information Report (FIR) in the matter, and had also issued a look-out notice for Yadav and Saini.

The complainant Omprakash Nowal of Interspace stated that the accused had hired his firm to put up hoarding for them in Pune. As per the contract, Interspace put up over 80 hoardings between February 2022 and September 2022. However, only a few initial payments were made by 4B Networks. He has claimed 4B Networks owes his firm Rs 10 crores, including interest on the outstanding payments.

EOW officials have told CNBC-TV18 that "for the last few days, both Yadav and Saini are being questioned. During the questioning, the accused keep insisting that they will pay Interspace Communication owed. However, no reason for the initial default has been forthcoming."

The Mumbai police will oppose the anticipatory bail application filed by the two accused.

The accused have been booked under IPC 420 (cheating), IPC 406 (Punishment for criminal breach of trust), IPC 409 (criminal breach of trust) and IPC 34 (common intention).

As some of our readers may remember, Rahul Yadav became famous for founding property startup Housing.com in 2012. He was fired from the firm in 2015.

His latest venture, 4B Networks is also reportedly involved in arbitration with investor InfoEdge, which pumped in a sum of Rs 288 crore into the company through its subsidiary Allcheckdeals India. Of this, Rs 276 crore was in equity and Rs 12 crore was in debt financing. InfoEdge was forced to write down this investment, saying it had not received requested financial information from 4B Networks, and launch a forensic audit into the books of the company.

Also Read:Mumbai police files FIR against 4B Networks founder & CEO Rahul Yadav in Rs 10 crore cheating case

(Edited by : Sangam Singh)

First Published:Aug 28, 2023 7:12 PM IST