The Madras High Court today granted conditional bail to Yogendra Vasupal, founder and Chief Executive Officer of hotel room aggregator startup Stayzilla.
Yogendra Vasupal, was arrested and sent to jail by the Chennai police commissioner after a case was filed against Vasupal by Jigsaw Advertising accusing him of fraud.
The court ruled that Vasupal should pay Rs 40 lakh as deposit.
WHY WAS YOGENDRA VASUPAL ARRESTED?
Stayzilla, a Private Limited company, had an ongoing dispute with a Chennai-based advertising firm -- Jigsaw Advertising -- over deficiency of services provided. Stayzilla had asked the company to move court but instead, the company filed a criminal case against the CEO and co-founder Vasupal, in Chennai, accusing him of cheating and intimidation among others. Point to be noted here is that by law, Stayzilla, the Private Limited Company registered, owe money to the advertising firm and not Vasupal in his personal capacity. Instead of a civil case, a criminal case was filed against Vasupal and he is now behind bars.
THREAT TO CO-FOUNDER'S SON'S LIFE
Co-founder of Stayzilla Sachit Singhi received a box delivered to him from an anonymous source inside which there was a voodoo doll and his son's photo. The writing on the packaging said, "The most special way to say you care".