The controversial Stayzilla case had taken yet another turn here on Thursday when the Chennai Court dismissed the bail plea applied by Stayzilla’s CEO Yogendra Vasupal in the alleged fraud case.
“Since a police custody application is pending, he cannot be given bail at this moment,” said Judge M.M. Kabir. Yogendra’s legal team is still considering the next course of action.
Mr. Vasupal who has been in custody for 10 days now, will continue to be on remand in Chennai’s Puzhal Central Prison. Yogendra’s friend and co-founder Sachit Singhi is also an accused in this case.
Vasupal was arrested by the Chennai Police on 14th of this month on charges of non-payment of dues to advertising agency Jigsaw Solutions. This issue crawled up barely after Stayzilla shut down its operations last month.
Days before he was arrested, he wrote in his blog about being harassed by politically connected landowners and the police officials. This story also included a voodoo doll which was sent to his friend and co-founder Sachit Singhi. He titled his blog as ‘Help! I Need Everybody’ before he was arrested.
Meanwhile, entrepreneurs and investors took to Twitter as a medium and demanded Vasupal’s release. While some criticized his arrest saying criminal complaints against startups will be unhealthy for the ecosystem.
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