Binny Bansal Flipkart Group CEO Resigns Following a Serious Personal Misconduct Probe

By November 13th, 2018 AT 7:19 PM

Flipkart Group CEO and co-founder Binny Bansal today resigned following a probe into an alleged “serious personal misconduct”, the firm’s new parent Walmart said. Bansal, 37, has strongly denied the allegation, the American retail giant said in a statement. His decision to step down follows an independent investigation done on behalf of Flipkart and Walmart, even though the probe “did not find evidence to corroborate the complainant’s assertions against Binny”, it said.

binny-bansal-flipkart-group-ceo-resignation

While the statement did not provide details of the “personal misconduct” allegations against Bansal, PTI sources indicated that the complainant was associated with Flipkart a few years ago and is now running her own venture. This, however, could not be independently ascertained.

The statement pointed out that the “deliberate and thorough” investigation “did reveal other lapses in judgement, particularly a lack of transparency, related to how Binny responded to the situation. Because of this, we have accepted his decision to resign”.

Bansal’s resignation as the CEO of Flipkart Group is with immediate effect. He was serving as the Group CEO after Walmart’s mega USD 16 billion investment in the Bengaluru-based company. Sachin Bansal, the other co-founder (not related to Binny), had left Flipkart after selling his entire 5.5% stake to Walmart as part of the deal.

Walmart’s statement said the recent events “risked becoming a distraction for the company” and Binny had made a decision to step down. The statement pointed out that Binny had been contemplating a transition for some time and that the company (Walmart) had been working together on a succession plan, which has now been accelerated.

Kalyan Krishnamurthy will continue to be CEO of Flipkart, which will now include Myntra and Jabong, continuing to operate as separate platforms within the Flipkart business, the statement said.

Ananth Narayanan will continue as CEO of Myntra and Jabong and will report to Krishnamurthy. Sameer Nigam will continue to head PhonePe — Flipkart’s payments unit — as CEO. Both Krishnamurthy and Nigam will report directly to the board, Walmart said.

“We remain committed to investing for the long-term and are supportive of the leadership team’s desire to evolve into a publicly-traded company in the future,” it added. In an internal email, Krishnamurthy sought to assuage employee concerns stating that “there will be no changes in our operating processes, or to the mission of the company as a result of this news”.

“Flipkart will continue to invest heavily in the supply chain, innovation and technology, with a focus on optimising operations and empowering employees… For Flipkart to keep succeeding, it is crucial for our teams to thrive, and we will continue to do everything possible to ensure you are given the opportunity to do just that,” he added.

Read more on:

Chakri is a go-to guy for your next smartphone recommendation. Back in his engineering days, he used to play with smartphones by installing custom ROMs and that passion got him into the tech industry. He still goes nuts about a smartphone knocking his door for review. Currently managing everything at Telecom Talk, Chakri is trying to master PUBG Mobile in his free time.

8
Leave a Reply

avatar
Photo and Image Files
 
 
 
3 Comment threads
5 Thread replies
0 Followers
 
Most reacted comment
Hottest comment thread
5 Comment authors
vishalKGF (Kolar Gold Fields)dragonmonkGauravPrithvi Recent comment authors
newest oldest most voted
KGF (Kolar Gold Fields)
KGF (Kolar Gold Fields)

Sabotage. This was a preplanned strategy by Walmart to boot out both the Indian founders and take full control. Yet again a knife in the back by a white man. I’m impressed actually.

dragonmonk
dragonmonk

@KGF Don’t be so thick. The sexual assault allegations could not be proved (doesn’t mean it didn’t happen). However, he was asked to leave because 1. He hired private security to ‘take care’ of the woman who accused him. 2. He hid this during negotiations with Walmart (Walmart could be liable if the woman sues Walmart, because Flipkart is now owned by Walmart).

KGF (Kolar Gold Fields)
KGF (Kolar Gold Fields)

China monk, don’t talk about stuff you have no clue about.

Gaurav
Gaurav

Law desists that an accused can’t even be handcuffed unless the guilt is either not of a serious nature , it accused in nit violent. Another firming tenet is that guilt should be proved “beyond reasonable doubt”. I am neither with the head that fell, being binny it his prisecutrix. Most of these cases have “quid pro quo ” somewhere and prosecutrix just makes dry and sundry allegation. Everyone who is a male, is at risk of having his career and life ruined for this archaic slant of laws towards females. Binny may be held guilty or not , but… Read more »

dragonmonk
dragonmonk

1. He hired private security to ‘take care’ of the woman who accused him. 2. He hid this during negotiations with Walmart.

Those are enough reasons to ask him to quit.
You can do your ‘laws being misused’ rant somewhere else. Not every man who is accused is being ruined.

vishal
vishal

+1

Recent Posts

Hathway Life Set Hai Offer Bundles Unlimited Data With 50 Mbps Broadband Plan at Rs 349

As Reliance Jio has sounded the trumpet for the launch of its Reliance Jio GigaFiber service in India, which is...

Bharti Infratel Posts Consolidated Net Profit of Rs 608 Crore During FY19

Mobile tower company Bharti Infratel on Wednesday posted a consolidated net profit of Rs 608 crore in the last quarter...

Cable TV Market Share Dominated By Top 15 MSOs, Only 22% Share Occupied by Rest 1,100 Players: Trai

In its new white paper released by the Telecom Regulatory Authority of India (Trai), the regulator noted that around 15...