Ex-President ACDWA exits IT biz

ALLAHABAD, INDIA: Incidents of partners taking money on credit and then absconding seems to have become the order of the day. The latest victim is Konarka Computers, an Allahabad-based company. Siddharth Sharma, Proprietor, Konarka Computers and ex-President of Allahabad Computer Dealers Welfare Association (ACDWA) informed The DQ Week that Rs 57 lakh of his was stuck in the market.

“It has never happened earlier that the money I gave on credit was not returned. At times it took a while but sooner or later I was always able to recover it. But about nine months back, I had to shut down my business, because I did not apply the credit control practice. I gave money on credit to people in the market without asking for any security or taking any safety measures,” Sharma shared.

He also did not sound very hopeful of recovering his money from the market, but shared that he would be back in business as and when the situation improved.

Sharma informed that due to problems on the personal and professional side he could not give time to the association activities. He has now got into sand and transport business.

Another major partner from Allahabad, on condition of anonymity, shared the names of two other dealers, who according to his estimates, owe Rs 18 lakh to dealers in the region. The companies are Swetech Enterprises and City Compaq Systems. He alleged that these two companies were not doing well, and the owners had taken money from dealers in Allahabad and nearby regions like Noida, Varanasi and Lucknow, and were now nowhere to be found.

When The DQ Week contacted Swetanshu, the owner of Swetech Enterprises, about the speculations in the market regarding his company, he rubbished them saying, “I have two shops, which are functioning. Hence, there is no question of being unapproachable. I am also on good terms with people in the market, and my business is doing pretty well, with a turnover of Rs 3 lakh to 3.5 lakh. And as far as rumors about my company being under debt of Rs 18 lakh are concerned, please tell me the names of the companies who have put these charges against me. I will in turn file a case against them for defaming me and my company name.”

He added it was common practice for a partner to have a few lakhs stuck in the market in some or the other form. “As part of rotation business, even my money of about Rs 12 lakh to 13 lakh is stuck in Lucknow and upcountry regions. Whom should I blame?” he argued.

Despite repeated attempts City Compaq Systems was not available to comment.

Shedding light on Konarka’s case, DR Chopra, CEO, Syscare and the new President of ACDWA said, “There are a few companies in every region who hold a reputation of taking money from the market and then delaying the pay-backs for some or the other reason, and sometimes, not returning it at all. I would not like to take the names of such companies. Konarka made a mistake by dealing with wrong and untrustworthy people in business. Besides a few personal problems, I feel that another reason why Sharma shut down Konarka was that he saw more profits in other businesses, which is why he now deals in sand and transport business.”

According to a market source, Konarka also lodged a complaint against Swetech, but they settled the case on unknown conditions. Sources also revealed that partners in the region are planning to take firm steps against such parties, by logging a police complaint and are consulting an advocate for the same.

Allahabad association elects new team

DR Chopra of Syscare was elected as the new President of the association. Rajan Singh of Akash Infotech has been appointed as VP, Sandeep Agarwal of Shree Enterprises as Secretary and Ashish Arora of Solution Infotech as Joint Secretary. On the upcoming activities of the association, Chopra shared that they have stared giving medical insurance, worth Rs 2,500, to all its members.

The association is also coming up with a service book for dealers.

“We are planning to make it mandatory for all dealers in the region to keep this book and give it to their customers after servicing them, in order to get their feedback. The service book will consist of three free service vouchers.” Chopra also informed that the association will help those dealers whose money is stuck in the market since long to recover it.