A case of cheating has been filed against the founder of OYO Hotels & Homes, Ritesh Agarwal, and six others, based on a complaint by a Bengaluru based hotelier. He alleged that for the past five months, the firm did not pay rent for rooms.

Betz Fernandez, who owns Roxel Inn at Domlur, in his complaint stated that OYO had booked rooms and had also agreed to pay Rs 7 lakh per month. However, he alleged that OYO did not pay him any rent since May, and duped him to the tune of Rs 35 lakh.

Apart from Ritesh Agarwal, those who have been booked are Rohit Srivastava, head of OYO South, heads of business development Madhvendra Kumar and Gourab De, OYO Finance Officers Prateek Agarwal, Manjeet Singh and Mrimony Chakraborty.

Police said that they have been directed to appear before the investigating officer on Thursday, November 7. In a statement, OYO told that they will file a counter-complaint against Fernandez, for “using improper legal means to sensationalise a civil dispute and get attention.”

“Our lawyers are looking into the matter and will be taking strong legal action as these claims are incorrect and defamatory in nature,” Business Today quoted OYO as saying in the statement.

The company claimed that appropriate criminal proceedings would be initiated against Fernandez. “We at all times follow the laws of the land and operate keeping in mind the best interests of our asset owners, customers and employees,” it stated.

“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. We, therefore, have strong reasons to repose our faith in the justice system.”

Also Read: OYO Faces Backlash As 15-Yr-Old Boy Dies Of Electrocution In Delhi Hotel Room