- Investree faces scrutiny over $231M funding round.
- Lead investor JTA’s commitment and CEO’s background raise questions amid silence.
- Investree navigates repayment delays and regulatory probes.
This is an interesting story that was investigated by TechinAsia.
Investree, a prominent Indonesian peer-to-peer lending startup, finds itself embroiled in a controversy surrounding its recently announced $231 million Series D funding round.
The lead investor, Qatar-based firm JTA, has come under scrutiny, casting doubt on the legitimacy of the investment commitment. Allegations of financial misconduct involving Investree’s former CEO and co-founder, Adrian Gunadi, have further exacerbated concerns.
Diligence dilemma
Despite Investree co-founder Lim Kok Chuan’s insistence on JTA’s commitment, backed by a letter from the investment firm, TiA’s investigation has uncovered discrepancies and unanswered questions about JTA’s ability to follow through on investment agreements.
Attempts to verify key facts, including the educational background of JTA’s CEO Amir Ali Salemizadeh, have proven futile.
Broader governance issues
The troubles at Investree are part of a broader pattern of corporate governance and due diligence lapses among venture-backed startups grappling with scarce capital.
.jpg)
Tech in Asia’s efforts to reach JTA representatives, Investree shareholders, and announced portfolio projects for clarification have been met with silence or unanswered queries.
Investree’s future
Compounding the uncertainty, JTA’s investment in Investree’s $231 million round remains unreflected in regulatory filings. Questions arise regarding Salemizadeh’s claimed credentials and the firm’s purported $1.2 billion in a dormant UK entity’s bank account.
A former JTA freelancer has alleged non-payment of fees and dubious business practices, further casting doubt on the firm’s credibility.
As Investree navigates repayment delays on its platform and an ongoing probe by Indonesia’s financial regulator, the startup’s future hinges on the materialization of JTA’s investment commitment.
The recent developments underscore the importance of thorough due diligence and transparency in the venture capital ecosystem, particularly during times of financial uncertainty.
To read the original article in its entirety: https://www.techinasia.com/jta-investrees-lead-investor-231m-funding
