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The timing of the ouster from Better Home & Finance has left Garg angry and, according to him, deeply betrayed
During an infamous mass Zoom meeting, Garg unilaterally informed 900 staff members—representing about 15 per cent of the company’s workforce at the time—that their employment was terminated effective immediately. Image/Better Home & Finance
Vishal Garg, the controversial Indian-origin executive who sparked global outrage in December 2021 by firing roughly 900 employees during a single, four-minute Zoom call, has officially been ousted as chief executive officer of Better Home & Finance.
The company’s board of directors confirmed that Garg has stepped down from his executive role and resigned his position on the board. The leadership overhaul marks the end of a tumultuous chapter for the digital mortgage lender, which struggled with severe reputational damage, executive departures, and plummeting stock valuations following the mass lay-off scandal.
Boardroom Betrayal: Garg Claims Successor ‘Hoodwinked’ Him
The timing of the ouster has left Garg angry and, according to him, deeply betrayed. Garg claims that hedge fund manager Daniel Lewis approached him months earlier under the guise of offering advice on cost reductions and financial performance, publicly praising Better’s strategy on social media to build rapport.
“He hoodwinked me,” Garg told CNN in an exclusive interview. “He said he liked the company’s strategy. He praised us on X and used that to get on our board and win our confidences.”
Garg claims he trusted Lewis enough to appoint him to the board on July 27, only for Lewis to turn around within a week, persuade the other directors to terminate Garg’s executive role on August 3, and install himself as the replacement CEO.
Refusing to go down without a fight, Garg is now mounting a high-stakes campaign to reclaim his position. He has hired high-profile attorney Alex Spiro, rallied backing from key shareholders with special Class B voting rights, and submitted a formal demand to the board asking for reinstatement, offering to work for a nominal salary of just $1 a year until the company reaches profitability.
The Four-Minute Call That Triggered a Downward Spiral
The catalyst for Garg’s fall from grace occurred just weeks before Christmas in 2021. During an infamous mass Zoom meeting, Garg unilaterally informed 900 staff members—representing about 15 per cent of the company’s workforce at the time—that their employment was terminated effective immediately.
Videos of the cold, abrupt firing went viral across social media platforms, sparking a wave of backlash from corporate governance experts, human resources professionals, and the public. In the aftermath of the viral fallout:
- Executive Exodus: Key senior leaders, including the head of communications, public relations officers, and marketing directors, resigned in protest.
- Apology & Leave of Absence: Garg subsequently issued an apology for how the lay-offs were handled and took a temporary leave of absence while the board commissioned an independent leadership culture review.
- Operational Friction: Reports surfaced detailing a high-stress workplace environment, further alienating prospective talent and investors.
SPAC Debut and Financial Turmoil
Despite the severe PR crisis, Better Home & Finance proceeded with its long-delayed public listing in August 2023 via a merger with a Special Purpose Acquisition Company (SPAC), Aurora Acquisition Corp.
However, the public market debut failed to restore investor confidence. A combination of historic mortgage rate hikes by the US Federal Reserve, falling home loan demand, and persistent brand damage caused the company’s share price to tank by over 90 per cent immediately following its stock market debut.
New Leadership and Strategic Pivot
In an effort to rebuild investor trust and stabilise operations, the board has appointed an interim CEO to oversee daily management and guide the mortgage platform through ongoing housing market headwinds.
The board expressed gratitude for Garg’s founding vision but emphasised that new leadership is necessary to chart a sustainable path forward, focus on core technological infrastructure, and repair corporate culture in an increasingly competitive fintech environment.
Key Questions Answered
Ask News18Vishal Garg is mounting a campaign to reclaim his CEO position at Better Home & Finance, having hired a high-profile attorney, rallied key shareholders, and formally demanded reinstatement to the board, offering to work for a nominal salary of $1 per year until the company becomes profitable.
Ask News18About the Author
Pathikrit Sen Gupta is a Senior Associate Editor with News18.com and likes to cut a long story short. He writes sporadically on Politics, Sports, Global Affairs, Space, Entertainment, And Food. He tra…Read More
August 15, 2026, 8:27 PM IST
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