PhonePe files formal complaint with SEBI against Ventureeast Fund

Digital payments firm, PhonePe on Saturday filed a formal complaint against Ventureeast, with markets regulator Securities and Exchange Board of India (SEBI), accusing the latter of ‘side dealings’ with Affle to scuttle its majority acquisition of IndusOS.

This SEBI complaint in India is in addition to a lawsuit that PhonePe has already filed against Ventureast Proactive Fund-II (VPF) and Affle in the Singapore High Court.

The lawsuit claims that VPF deliberately deceived PhonePe, by continuing to engage PhonePe and OSLabs, parent of IndusOS, on the sale of its stake in OSLabs in favor of PhonePe even though it had sold those same shares to Affle in a side deal without OSLabs and PhonePe’s knowledge on a prior date during a legally binding no-shop period.