Probe against Bansal says ‘consensual affair’?
The co-founder and chief executive officer of Indian e-commerce company Flipkart Group resigned after an investigation into allegations of sexual assault, dealing a blow to owner Walmart Inc.’s ambitions in that country.
Binny Bansal, 37, stepped down immediately following an independent probe into the allegations, which the executive denies, Walmart said. The accusation came in late July, according to a person with knowledge of the matter, who requested anonymity because the details aren’t public. The person said the accuser was a former Flipkart employee, while a second person familiar with the situation said the woman never worked there.
“While the investigation did not find evidence to corroborate the complainant’s assertions against Binny, it did reveal other lapses in judgment, particularly a lack of transparency, related to how Binny responded to the situation,” Walmart said in a statement.
Investigators concluded Bansal and the woman had a consensual affair, the people said. Walmart completed its $16 billion purchase of a majority stake in the Indian company in August in a deal that lifted Bansal’s net worth to $1 billion.
The resignation is an embarrassment for Walmart in one of its most important international markets. Flipkart is in a fierce tussle with rival Amazon.com Inc. as millions of Indians embrace e-commerce, with both retailers pushing to attract consumers with massive discounts and exclusive products. Walmart has placed a huge bet on the unprofitable Flipkart unit, which the company has said will reduce earnings in coming years.
NEWDELHI: