Walmart launches investigation into alleged kickbacks at Flipkart
Walmart is investigating allegations that employees at its Indian subsidiary, Flipkart, accepted approximately ₹150 crore in kickbacks from vendors to manipulate search visibility.
Retail conglomerate Walmart has launched a probe into allegations that employees at its subsidiary, Flipkart, received roughly ₹150 crore ($16 million) in kickbacks. The investigation focuses on divisions dealing with smartphones and travel accessories, where staff allegedly accepted payments in exchange for providing vendors with preferential placement on the e-commerce platform.
A spokesperson for Flipkart stated that the company maintains robust governance and compliance controls and addresses integrity concerns through established internal processes. This marks the third financial misconduct investigation involving Flipkart in the last three years, with previous inquiries resulting in employee dismissals.
The development coincides with broader instability at the firm, including multiple high-level executive departures and growing pressure from former employees regarding stock buyback schemes. Flipkart, which has delayed its IPO plans to prioritize EBITDA breakeven, continues to face challenges in maintaining operational transparency while expanding into new segments like quick commerce.