Walmart Probes Flipkart Staff Over Alleged ₹150 Cr Kickbacks

Walmart has launched an investigation into allegations that employees at its subsidiary Flipkart received more than ₹150 crore (about $16 million) in kickbacks from vendors. The probe follows whistleblower complaints, according to people familiar with the matter.

The complaints involve staff in Flipkart's smartphones and luggage and travel accessories (LTA) divisions. Employees allegedly accepted payments and favours from vendors in return for preferential treatment on the platform, including greater visibility that helped lift sales. Some are also said to have used Flipkart's B2B operations to facilitate the arrangements, and in smartphones, to have taken cuts when devices moved between businesses. The investigation is ongoing, and the exact amount and nature of any wrongdoing have yet to be established.

A Flipkart spokesperson said the company has "robust governance processes and controls" and is "committed to the highest standards of integrity and compliance," adding that it takes any concerns seriously.

A repeated pattern

This is reportedly Walmart's third investigation into alleged financial misconduct at Flipkart in less than three years. A probe in the LTA division about two and a half years ago led to at least three dismissals. Another, in smartphones roughly six months ago, reportedly found wrongdoing by an employee who resigned before being dismissed.

The case lands as Flipkart faces wider pressure. At least 14 vice presidents and senior vice presidents have left in the past year, including smartphones VP Kanchan Mishra, product and technology VP Amit Sachan and corporate tax VP Kamal Chopra. More than 1,000 former employees have asked Walmart's board for equal access to stock buybacks, a longer window to exercise vested options and a named contact for their concerns.

IPO and financials

Group CEO Kalyan Krishnamurthy said in July that Flipkart has no timeline for going public. Earlier reports said Walmart wants the company to prioritise profitability and target EBITDA breakeven by the end of FY27 before any IPO or external fundraise.

In FY26, Flipkart Internet's consolidated operating revenue rose 18% year on year to ₹1,45,880 crore, while its net loss narrowed slightly to ₹8,468 crore from ₹8,646 crore. The figures include Myntra and Cleartrip. Flipkart continues to invest in newer lines such as quick commerce service Flipkart Minutes, and is exploring food delivery and event ticketing.