GoMechanic’s early investors Peak XV, Orios and Chiratae file EOW complaint against the startup over financial misreporting

NEW DELHI: Early investors in GoMechanic—Peak XV Partners (formerly Sequoia Capital India), Orios Venture Partners and Chiratae Ventures have filed a complaint with the Economic Offences Wing (EOW) of the Haryana Police against the startup’s founders over financial misreporting. Orios Venture Partners confirmed the development late Tuesday night.

The fresh development comes seven months after the Gurgaon-based car service startup admitted to financial reporting lapses at the firm. “Our passion to survive the intrinsic challenges of this sector, and manage capital, took the better of us and we made errors in judgement as we followed growth at all costs, including in regard to financial reporting, which we deeply regret,” co-founder Amit Bhasin had written in a Linkedin post.

In March this year, the startup had been acquired by a consortium led by the Lifelong Group. GoMechanic could not be immediately reached for a comment. Peak XV Partners and Chiratae Ventures did not respond to queries.

Earlier in the week, GoMechanic in a statement had claimed that the company’s business had emerged stronger under the new management. Between April and June 2023, GoMechanic serviced more than 68,500 cars across India, the firm said.