AskMe Shuts Down Due to Non-Payment by Investor Astro Group; Lays off all Employees Without Any Remuneration
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AskMe, a hyperlocal e-commerce company, has been facing troubles since the start of the year when its primary investor, Malaysia-based Astro Holdings defaulted on payments to sellers, own employees and other dues. The bills had amounted up to $15 Million from January 2016, and since Astro has 98.5% stake in AskMe, the company had to rely on just one source of income.
AskMe Group CMO, Manav Sethi talked about a possible buyout, “Astro is pulling out of all business and its investments in India because of the political and legal issues. AskMe Group has made a management buyout bid and leadership team is working towards taking over the company.” However, this failed to see the light of the day because of Astro.
Making the problems worse, Astro was supposed to sign the Management Buyout Proposal(MBO) but eventually refused to exit the business or infuse more capital into the company. This locked AskMe from all sides since it could not raise money from any other investor to clear off the dues and continue the business. The employees haven’t been paid for the past two months which have made matters out of hand.
Because of all these matters piling up, finally AskMe Group has decided to suspend its operations across India with immediate effect. The daily running costs and legal hassles were taking a toll of the company and this was probably the best and the only decision the higher management could have taken.
Interestingly though, the site is still live and customers can still place order – however, we doubt that any of the orders placed now will get fulfilled.
Will AskMe be able make it back on its own?
While the company has shut its operations everywhere, there is a little ray of hope that the operations might be back soon. After all, the only reason AskMe couldn’t deliver is because it is stuck in a tussle with Astro Holdings, which itself is stuck with legal matters related to money laundering.
Astro Group also continues to refuse to attend board meetings and other important discussions for AskMe’s future. Around 650 employees had exited from AskMe early this year due to fear of terminations from the workforce and AskMe’s inability to pay salaries.
The future does look bleak for the company, but it is also an important lessons for startups that rely on just one majority investor. In fact, it is not just about investors, a company must have a vision for the future that provides it a safe belt for the years to come.
Even if AskMe makes it back, it might not find enough investors and adequate funding to restart its operations, because the industries it has forayed into – groceries and furniture – are already facing operational and financial challenges
Gurgaon-based consumer Internet search platform AskMe has shut down its operations and has laid off its remaining staff. AskMe’s ecommerce website is live at the moment but it is not accepting any new orders.
According to people close to the development, the step was taken amidst severe cash crunch, alleged to the unplanned exit of Astro Holdings, its principal investor. AskMe, in a recent letter written to the Ministry of Corporate Affairs and Registrar of Companies, has asked them to ensure that Astro does not exit the country without meeting its liabilities and commitments.
Recently, AskMe saw resignations from more than 650 employees who were in the annual salary bracket of INR 2.5 lakh-INR 6 lakh. To date, Astro has pumped in $119 Mn (INR 800 Cr) in the company according to filings with the Ministry of Corporate Affairs. It was also in discussions with Alibaba and Baidu to raise $200 Mn this fiscal at $1 Bn valuation, to further revamp its etailing business AskMeBazaar.
repost sir 
http://www.desidime.com/forums/dost-and-dimes/t...
@krishan42933 wrote:
repost sir
http://www.desidime.com/forums/dost-and-dimes/t...
I Guess Ppl Loved it when they hear this news everybody so excited to post 
@krishan42933 wrote:
repost sir
http://www.desidime.com/forums/dost-and-dimes/t...
Requesting @Jammy to merge it. #CleanDD
@blue wine wrote:
@Utsav wrote:
@blue wine wrote:
@Utsav wrote:
There is a thin line between opinion and experience. Whenever gojavas came at my doorstep for delivery, they mostly had 4-5 packages of tolexo for delivery (all of them prepaid). So, I thoght they might be having a good chunk of customers. Hope you got my point.
4-5 Prepaid parcel
What is loot?
Loot ke bina kaun order place karega tolexo per Vo bhi prepaid
Ever heard of chupchaplelo.com wahaan se bhi order karte hain
@vijkap201 wrote:
Now started to ponder… who all will be left and what’ll happen to loots?…
So you also looted to Askme Grocery? Well many were looting to them and to Peppertap. Greed has no limits. E commerce in India is no more easy because our own people are the biggest threats for industry. 
@mahidada How much of referral amount you lost in Peppertap?
@Magus wrote:
Good God! I got my 100 bucks back before they shut down.
They seemed honest to you.
@BUTTERFLYBOY wrote:
@vijkap201 wrote:
Now started to ponder… who all will be left and what’ll happen to loots?…
So you also looted to Askme Grocery? Well many were looting to them and to Pepperfry. Greed has no limits. E commerce in India is no more easy because our own people are the biggest threats for industry.
@mahidada How much of referral amount you lost in Pepperfry?
I dont have an account in Pepperfry
@BUTTERFLYBOY wrote:
@Magus wrote:
Good God! I got my 100 bucks back before they shut down.
They seemed honest to you.
Yeah, can they afford to take on a Critic…
@mahidada wrote:
@BUTTERFLYBOY wrote:
@vijkap201 wrote:
Now started to ponder… who all will be left and what’ll happen to loots?…
So you also looted to Askme Grocery? Well many were looting to them and to Pepperfry. Greed has no limits. E commerce in India is no more easy because our own people are the biggest threats for industry.
@mahidada How much of referral amount you lost in Pepperfry?
I dont have an account in Pepperfry
Sorry Peppertap. Made a mistake between the names.
@BUTTERFLYBOY wrote:
Sorry Peppertap. Made a mistake between the names.
Peppertap still was profitable to us
No regerts
I think there was one guy working for askmepay on the forums who always posted the threads first .hope he’s got himself a secured job
@PaytmKaPoojari wrote:
I think there was one guy working for askmepay on the forums who always posted the threads first .hope he’s got himself a secured job
Lol ! I also had an offer for mid level management position but its a different thing that I didn’t pursue because of their high reputation within the industry.
no acc on pappertap = never looted
Oh.. ab pata chal Inkfruit kyon close hui.. aapke Rs.2000 ke chakkar me woh company shut down karke bhaag gaye.
Aur kissi wallet me paise to nahin rakhe na bhai
Oh.. ab pata chal Inkfruit kyon close hui.. aapke Rs.2000 ke chakkar me woh company shut down karke bhaag gaye.
Just kidding bhai logon 
Aur kissi wallet me paise to nahin rakhe na bhai