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Zoho Books Flaw: Failed Payments Marked as Successful!
6 Apr
Summary
- Failed transactions were marked as successful in Zoho Books, causing financial issues.
- A manual audit revealed a Rs 3.8 lakh payment recorded without funds received.
- Zoho states the issue stems from payment gateway integration, not their software.
A Bengaluru-based startup founder has voiced serious concerns regarding accounting discrepancies within Zoho Books. He alleges that the software incorrectly marked failed transactions as successful payments, leading to financial mismatches and substantial operational strain for his company, FlexyPe, over a two-year period. This significant flaw was uncovered during a routine manual audit of financial records from March.
The audit revealed a specific transaction of Rs 3.8 lakh that was recorded as a payment in the accounts, even though the funds were never actually received by the company. The founder expressed extreme anger and distress over the situation, highlighting the impact of repeated manual checks and increased workload on his team. He plans to file a formal complaint seeking compensation for losses incurred and mental anguish.
Zoho has responded to the allegations, stating that their initial investigations do not point to a problem with their software itself. The company suggests that preliminary findings indicate a glitch within the payment gateway integration, rather than an issue with Zoho Billing or Zoho Books. Their support team is actively working with the founder and the payment gateway provider to thoroughly investigate the matter.
Cashfree Payments, identified as the payment gateway involved, has confirmed that the issue has been resolved and will not recur. The company is collaborating with Zoho to identify the root cause and implement measures to prevent similar incidents in the future.
