Lucknow, March 26 (IANS). Keeping transparency and good governance in mind, the Uttar Pradesh government has canceled the agreement with Punch AI.
Investment promotion agency Invest UP, while giving information on social media platform X, said that this MoU signed on March 23 was reviewed as per the standard procedure.
According to the agency, necessary documents and information were sought from the investor, but the company could not provide the necessary details on time. During due diligence, the company’s net worth and lack of reliable financial base commensurate with such a large project came to light.
After this, on the instructions of the state government, the MOU was canceled with immediate effect. The agency clarified that there are no remaining rights or obligations associated with this agreement.
It is noteworthy that Invest UP had signed this MoU with Punch AI to set up an AI park in the state with an investment of about Rs 25,000 crore.
Earlier, questions were being raised about the financial and operational capability of this startup. It is being told that Punch AI is a relatively new company, whose annual income is less than Rs 50 lakh.
Chief Minister Yogi Adityanath had also clarified on this issue that the MOU signed through Invest UP is only the initial stage and does not guarantee the final approval or implementation of any project.
He had said that the MoU is merely an initial step to explore possibilities and further process, after which detailed investigation and evaluation is done.
–IANS
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