Getit Infoservices, which owns Askme Bazaar, recently filed for winding up of its company due to an absence of profits and an unviable business model has witnessed another twist today. The National Company Law Tribunal has stopped Getit from closing its e-commerce websites Askme Bazaar, Askme Grocery & Mebelkart.
Geitit Infoservices had announced that it would be winding up the company and laying off about 4000 employees. There was uncertainty about the outstanding vendor payments. An independent review of the company’s finances by external auditors had confirmed that financial recovery was next to impossible.
98.5% of Getit Infoservices is owned by Malaysian Astro Holdings. It is believed that Ananda Krishnan, who is the owner of Astro Holdings may want to exit his Indian holdings/ investments as he is under the CBI lens for his investment in Aircel.
Minority shareholder Sanjiv Gupta had filed a petition with National Company Law Tribunal, against the majority shareholder Astro holdings, alleging that Astro wanted to dilute its stake in the company without paying dues worth Rs 300 crores. He also alleged that employees and vendors have not been paid for the last few months, which has resulted in a lot of protests outside their offices in Noida and various different cities.
Getit had recently terminated the services of all its delivery boys and asked its employees to stay at home. Senior BJP Rajya Sabha MP too has written to the Ministry of Corporate Affairs to save Askme from winding up. Minutes of a board meeting held on 18 July finalized August 31 as the final date for winding up the business and $5 million to be adjusted towards closure cost.
The National Company Law Tribunal ordered that a status quo of the company be shared with it and underscored that no board meetings can be held till the next hearing on October 17.