Cult Founder Rishabh Telang Accused Of Forgery

Rishabh Telang, the founder of Cult, has been accused of allegedly forging the signatures of his former co-founder and brother-in-law, Deepak Poduval, on documents used to shut down Cult Fitness Private Limited.

The Bellandur Police in Bengaluru registered an FIR on August 6, naming Telang and Cult Fitness Private Limited as accused. The case includes allegations of forgery, cheating, and criminal conspiracy.

Telang and Poduval founded Cult Fitness in 2015, building the Bengaluru-based fitness company around group workout formats. In 2016, Cure.fit acquired a majority stake in the company, after which Cult became part of Cure.fit's fitness business.

According to Poduval's complaint, documents submitted to the Registrar of Companies in 2019 contained forged versions of his signatures and were used to strike off Cult Fitness without his approval. Poduval alleged that he discovered the filings while reviewing company records available on the Ministry of Corporate Affairs portal. He claimed that the company was later removed from records and his 50% ownership stake was extinguished without any compensation.

Cult.fit, however, stated that the FIR-related company was separate from its current operations. The company said that neither Cult.fit Limited nor its subsidiaries, including CultFit Healthcare Private Limited, have been named as accused in the case. Cult.fit maintained that the transaction was completed properly and that payments were made as per the agreement.

Telang has also rejected the allegations, stating that Poduval was involved in discussions with CultFit Healthcare and the subsequent winding-up process of Cult Fitness. Telang claimed that he has correspondence showing Poduval's involvement in the transactions and referred to an MCA communication dated March 12, 2020, regarding the company's closure, which was shared with both founders.

The allegations against Telang are serious and could have significant implications for the Cult brand. The case is yet to be decided by a court, and the facts will emerge through legal proceedings.

The Cult brand has been expanding its operations, with plans to raise ₹950 crore through a fresh issue. The company has also acquired the India business of global fitness chain Gold's Gym.

The outcome of the case will be closely watched, as it could impact the reputation of the Cult brand and its founders.

In conclusion, the allegations against Rishabh Telang are a significant development in the story of Cult, a fitness company that has been expanding its operations in recent years. The case will be decided by a court, and the facts will emerge through legal proceedings.