SUMMARY
- Delhi HC appoints an arbitrator to resolve the BharatPe-Ashneer Grover dispute over confidentiality breaches.
- Arbitration will be held at the Delhi International Arbitration Centre, as per Grover’s employment agreement.
- Grover was fined Rs 2 lakh earlier for breaching a court order by posting derogatory remarks about BharatPe on social media.
The Delhi High Court has appointed a sole arbitrator to mediate the ongoing conflict between BharatPe and its former Managing Director, Ashneer Grover. This appointment follows BharatPe’s plea under the Arbitration and Conciliation Act, centered around allegations of Grover breaching confidentiality terms laid out in his employment agreement. The fintech company claims Grover disclosed sensitive company information on social media, leading to this arbitration process.
Justice C. Hari Shankar issued the order for arbitration, responding to BharatPe‘s request to appoint retired Supreme Court Justice Hemant Gupta as the arbitrator. However, Grover’s legal representation, led by advocate Giriraj Subramanium, proposed retired Justice J.R. Midha instead. Additionally, Grover’s advocate suggested that the case be referred to the Singapore International Arbitration Centre (SIAC), considering its involvement in related shareholder disputes. Despite this, the court upheld BharatPe’s position that the arbitration should occur under the Delhi International Arbitration Centre (DIAC), in accordance with Grover’s employment contract.
This follows an earlier penalty of Rs 2 lakh imposed on Grover by the Delhi High Court for violating a prior court order. Grover had posted derogatory remarks about BharatPe on social media, breaching an injunction aimed at preventing such disclosures. Justice Rekha Palli, expressing dissatisfaction with Grover’s repeated violations, ordered him to pay the penalty to the Delhi High Court Clerk Association. Although Grover issued an unconditional apology, it was accepted by the court, contingent upon the payment of the penalty.
