 "Client’s ‘frivolous’ complaint pushes Wherehouse to shut down, founder announces on Linkedin")
The founder of Wherehouse — the warehousing app, Vaibhav Chawla shut down his company after receiving frivolous complaint from a client which led to his arrest. The arrest occurred in Delhi in which Chawla was detained by the police officials and his several employees without any proper documentation.
The Delhi-based entrepreneur announced the closure of his company two days ago in a linkedin post.
Sources in the Delhi Police, however, dismissed claims of detention, stating that no one is in custody. They clarified that the police received a letter of complaint and cheating which is under investigation.
Company profile
Warehouse was founded in 2021, which provided supply chain intelligence, warehousing, staff support, and fast delivery for small brands. The company achieved profit last year and built a sense of real infrastructure.
Chawla praised the team’s efforts and the resilience which made a huge impact. In his post, Chawla, one of the startup’s co-founders, said the company had “pushed through every obstacle, capital constraints, operational chaos, and the brutal realities of building consumer infrastructure” to emerge successful.
“We made mistakes, we learned fast, we stayed honest, and we kept showing up every single day. What we built was not small — a real business, real infrastructure, real people, real impact. And a team that gave a part of their life to this dream. We made profits too last year,” he further added.
Few months were ‘brutally hard’
Chawla shared that the last few months for the team had been hard and they had gone through a rough phase. He admitted that the company’s focus during the period was only to take care of the clients and help them to build alongside us.
“A frivolous complaint and the line was crossed. In the last few days, the team of Wherehouse was detained without any documents, only to be released after families showing up at the police station,” Chawla wrote on his Linkedin handle.
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View All“In the due course of months, we would proceed with transition of brands and teams and prepare for what comes next,” he concluded.
What was the complaint for?
In a statement to Moneycontrol, Wherehouse said the complaint was filed by Curio Lifestyle, which had approached the startup in July 2024, to expand its business.
Curio Lifestyle and Warehouse entered a formal agreement in August last year. But by November, Curio Lifestyle began defaulting on payments.
Despite the reminders the dues were uncleared and the amount stood at Rs 1,92,207 as of May 31. In June, the client counter claimed that Wherehouse owed it money and accused of cheating.
Wherehouse said that this was just the client’s complaint to evade payment.
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