Supply chain finance startup Bizongo on Friday refuted allegations of fraudulent diversion and misappropriation of funds amounting to at least Rs 69 crore by invoice discounting platform TradeCred.
The response of Bizongo following a complaint filed by TradeCred with the economic offences wing.
"Over the past year, under the new leadership, Bizongo has repaid over Rs 184 crore to TradeCred, reducing its principal obligation from over Rs 250 crore to Rs 66 crore. All repayments were processed with internal approvals and transferred into a common escrow account, as instructed by TradeCred," Bizongo said in a statement.
A formal settlement plan for the remaining amount has already been submitted, and Bizongo is awaiting response from TradeCred, it said.
Besides, it said, Bizongo offered 10 per cent equity to TradeCred in a business that has been profitable since April 2025.
"Bizongo has reduced its net debt (after security) from approximately Rs 900 crore to under Rs 100 crore, a 90 per cent reduction. The company has successfully pivoted to a raw materials supply platform, which turned profitable as of the April-June 2025 quarter, with a monthly GMV of Rs 130 crore," it said.
The company continues to operate in full compliance with regulatory norms and remains committed to transparency, ethical conduct, and the trust of its stakeholders, it said.
Attempts to conflate a resolved financial restructuring with misconduct are misleading and do not reflect the company's current financial position or governance standards, it added.
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