 "AskMe gasps for breath as investor Astro files 'winding-up' petition")
Once popular – and now defunct – ecommerce startup AskMe is breathing its last. The startup’s biggest investor, Malaysia-based Astro Entertainment Network (AENL) has filed a petition in the Delhi High Court to close down Getit Infoservices, AskMe’s parent company.
The move thwarts all efforts made by AskMe co-founder and CMD Sanjiv Gupta to prevent the ecommerce startup hitting insolvency. In the past, Sanjiv has repeatedly locked horns with Astro, blaming the investor for withholding funds, and eventually pushing it to the brink of failure.
Astro, on the other hand, has squarely put all responsibility of AskMe’s debacle on Sanjiv, citing an agreement signed during Astro’s entry that entrusts him with the functioning of management.
As of July 2016, AskMe recorded losses of US$60.7 million.
The blame game
The move to shut down AskMe is in line with Astro’s earlier statements where it expressed the need for a court-appointed liquidator to decide AskMe’s fate. Astro wants a third party liquidator to step in because of the stalemate between Getit board of directors – including Sanjiv, Sidharth Gupta, Ramesh Gupta – and the investor.
Astro says that the Getit board has resorted to hostility and has deliberately delayed and obstructed decisions related to the closure of the company.
Sanjiv, on his part, has approached Astro three times, latest being in September, with a management buyout offer. But Astro has rejected it all three times, saying the offer was “inappropriate.”
