Indian billionaire Binny Bansal resigns as CEO of Walmart-owned Flipkart after allegations of sexual misconduct
- Bansal’s exit followed an independent investigation that revealed lapses of judgment on his part, according to the retailer
The co-founder of Flipkart, the massive online retail operation in India acquired by Walmart this year, has stepped down as CEO following an allegation of serious personal misconduct.
Walmart, which bought a US$16 billion controlling stake in Flipkart Group in May – the largest single investment in its history – said on Tuesday that an independent investigation done on behalf of both companies did not find evidence corroborating the allegation against Binny Bansal, but it did reveal lapses in judgment on his part.
Walmart cited “a lack of transparency, related to how Binny responded to the situation.”
The investigation stemmed from an allegation of sexual assault that dates back a few years, a person familiar with the matter told Reuters.
“In late July … an allegation came to us. It was a claim of sexual assault against Binny,” the source said, adding the individual concerned was a former Flipkart associate who was not with the company at the time of making the allegation.
Bansal has strongly denied the allegation, according to a separate statement by Flipkart and its main shareholder Walmart.
Kalyan Krishnamurthy, who took over as acting CEO of Flipkart in 2017, will continue in that role.