The alleged wrongdoing includes employees accepting favours from brands in exchange for preferential treatment, the report added. Some employees reportedly exploited Flipkart’s business-to-business operations by taking cuts from vendors as devices moved between businesses.
In return, these employees allegedly ensured sellers received better visibility on the platform, helping them increase sales. This probe is the third investigation Walmart has conducted within Flipkart in less than three years, it said.
About two-and-a-half years ago, Walmart investigated financial misappropriation in the LTA department, resulting in the termination of at least three employees. Six months ago, another probe into the smartphones division found one employee guilty, who resigned before being fired.
The latest investigation comes amid challenges for Flipkart, including senior-level exits, employee dissatisfaction over the liquidity of employee stock ownership plans, and uncertainty over its initial public offering timeline.
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Walmart has not yet decided when to take Flipkart public. Over the past year, at least 14 vice presidents and senior vice presidents have left the company. Additionally, around 1,000 former employees recently wrote to the Walmart board seeking parity with current employees in the event of a stock buyback.
The alleged financial misappropriation, estimated at around ₹150 crore, has raised questions about Flipkart’s internal controls and processes, despite its reported revenue of more than ₹1.46 lakh crore in FY26.
