SustainKart’s dramatic collapse from eco hype to shutdown fueled by funding gaps legal fraud claims

Published on 11 May 2026

Investors demanded $800K back amid alleged misreporting

SustainKart launched in 2021 as a celebrity-backed green commerce dream, promising affordable sustainable fashion, home essentials and more. By 2023 it ran into funding trouble, investor allegations of financial misrepresentation, and a bitter founder dispute after a new venture trigger. The legal pressure intensified into an Economic Offences Wing case, and SustainKart was ultimately shut down.

SustainKart rose quickly on a big sustainability promise and celebrity support
Cash crunch and alleged misrepresentation allegations sparked investor fallout
A new venture led to fresh tensions and legal complaints in 2023
The shutdown was followed by an EOW escalation and Dutt cutting ties

#startup failures #funding #legal dispute #green commerce #sustainability

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This summarization was done by Beige for a story published on Startup Talky

SustainKart’s dramatic collapse from eco hype to shutdown fueled by funding gaps legal fraud claims

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