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Zepto has disclosed in its updated IPO filing that the Enforcement Directorate summoned founders Aadit Palicha and Kaivalya Vohra in April under FEMA, even as the quick commerce firm pushes ahead with its public listing plans
Quick commerce startup Zepto disclosed that India’s Enforcement Directorate (ED) summoned its founders, Aadit Palicha and Kaivalya Vohra, in April under the Foreign Exchange Management Act (FEMA), weeks before the company filed updated papers for its anticipated initial public offering (IPO).
The disclosure was made in Zepto’s updated draft red herring prospectus (DRHP) filed with the Securities and Exchange Board of India (SEBI), where the company identified the matter as a risk factor for prospective investors.
According to the filing, the ED issued summons dated April 8, seeking a range of information related to the company’s operations and financial structure. The agency requested details on foreign and overseas investments, audited financial statements dating back to FY21, shareholding patterns, loans and guarantees, income tax returns, bank accounts, immovable properties and a note outlining the company’s business model.
The filing stated that co-founder Kaivalya Vohra appeared before the agency on April 17 and April 22, while Aadit Palicha appeared on April 20 and May 15.
“The Company and its founders have not received any further communication in relation to the aforementioned summons,” Zepto said in the filing.
However, the company cautioned that it could not guarantee there would be no future inquiries, investigations, legal proceedings or penalties arising from the matter.
The disclosure comes as Zepto moves closer to its stock market debut, one of the most closely watched technology listings in India this year. The company is seeking to raise Rs 8,010 crore through a fresh issue of shares, while existing investors will also offload part of their holdings through an offer for sale.
In a separate filing update, Zepto reported strong growth in the financial year ended March 2026. Revenue from operations more than doubled to Rs 22,624 crore from Rs 11,110 crore a year earlier, driven by rapid expansion of its quick commerce network and rising order volumes.
Despite the surge in revenue, losses widened as the company continued to invest aggressively in expansion. Net loss increased to Rs 5,905 crore in FY26 from Rs 4,700 crore in the previous year, reflecting higher operating expenses, marketing costs and investments in infrastructure.
For the March quarter, revenue rose 75 per cent year-on-year to Rs 7,498 crore. The company said operational efficiency improved significantly, with adjusted EBITDA loss per order nearly halving over the course of the year.
Founded in 2021 by Palicha and Vohra, Zepto has emerged as one of India’s largest quick commerce platforms, competing with Blinkit, Swiggy Instamart, Flipkart Minutes, BigBasket and Amazon’s fast-delivery offerings.
The company plans to use proceeds from the IPO to expand its network of dark stores, strengthen technology and cloud infrastructure, and pursue strategic acquisitions.
First Published:
June 09, 2026, 09:36 IST
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