UP govt states, the MoU has been cancelled in the interest of transparency and highest level of probity in governance.

Previously announced MoU between Puch AI and Govt of Uttar Pradesh of ₹25,000 Crore, caused a huge uproar online by public, asking what due diligence had been done and what a 1-year-old startup with revenue of less than ₹50 Lakh/year, and valued at ~₹400 crores has been given this opportunity.

Invest UP's statement as below

As per standard protocols laid by State Government, the MoU signed with Puch AI on 23 Mar 2026 was reviewed.

Necessary details as per SOP were sought from the investor, but they failed to provide them timely. Due diligence showed lack of net worth and credible financial linkages for the project's scale. On directions of the State Government, the MoU is cancelled effective today. No rights or obligations remain.

The MoU has been cancelled in the interest of transparency and highest level of probity in governance, which are in the core of Government of Uttar Pradesh.

Source: Invest UP