FIR against OYO CEO, officials over dues, co. refutes charge

 The Bengaluru police on Monday filed an FIR against OYO CEO Ritesh Agarwal and six other top executives of the hospitality chain on a complaint over non-payment of dues.

OYO has said it will respond with appropriate criminal proceedings against the complainant, a Bengaluru-based hotel owner.

In his complaint on Monday, Roxel Inn's owner, Betz Fernandez, said according to an agreement OYO had to pay the company Rs 7 lakh on a monthly basis as a minimum guarantee, but the company has not paid since May.

According to the police notice, the investigating officer of Halasuru police station, Bengaluru, has asked seven OYO executives, including CEO Ritesh Agarwal to "appear before the investigating officer on November 7 about 11 a.m. without fail".

"As per the agreement, OYO has to pay the company Rs 7 lakh on a monthly basis as a minimum guarantee. However, since May, no amount has been paid at all. The outstanding amount is Rs 35 lakh," the FIR said.

Meanwhile, OYO in a statement said that its lawyers are looking into the matter and "will be taking strong legal action" as these claims are incorrect and defamatory in nature.

"OYO Hotels and Homes will initiate appropriate criminal proceedings against the Bengaluru owner who is sensationalizing a civil dispute to attract attention," OYO said.

OYO further called it a "regular commercial dispute" and said "on studying a similar matter where an FIR was wrongfully filed in September, the honourable Karnataka High Court recently stayed the adverse actions via an injunction in Bengaluru".IANS