India’s leading craft beer brand Bira 91, the flagship label of B9 beverages is currently facing a major internal upheaval. More than 250 employees have reportedly signed a petition seeking removal of the founder and CEO Ankur Jain. The move follows mounting concerns over delayed salaries, unpaid dues and alleged lapse in corporate governance.

What happened with Bira 91?

B9 Beverages Pvt Ltd was founded in the year 2015. It was started with the mandate of serving beer made from wheat, barley and hops. In the year 2023-24 the company suffered a severe net loss of Rs 748 crore. Not only that it also witnessed a decline in their annual sales volume 6-7 million in FY24 from 9 million the previous year as per the reports of The Federal.

What are the reasons for revolt ?

According to the reports of Business standard, the employees have raised voices against the pending salaries and reimbursement from the past 6 months. Further, the company is accused of failing to deposit tax deducted at source (TDS) for more than 50 employees during the last fiscal year.

Adding to the list of concerns, provident fund contributions have reportedly not been made since March 2024, while vendor payments and creditor lawsuits have compounded the company’s financial distress. The petition has been formally addressed to the company’ s board of directors, its key investors Kirin Holdings and Peak XV Partners as well as the company’s largest lender, Anicut Capital.

What Ankur Jain said?

In his response, CEO Ankur Jain has formally acknowledged and commented on the delayed payments and operational disruptions. However, he has denied formally receiving the petition, attributing the ongoing issues to external regulatory hurdles and fundraising difficulties.

Amidst the growing unrest within the company, Bira 91 now stands at a critical juncture. The coming months will reveal whether the management can restore employee confidence and financial stability or not. Or will there be a structural change at leadership position.