New Delhi, March 27 -- The Uttar Pradesh administration has rescinded a proposed Rs.25,000 crore Memorandum of Understanding (MoU) previously signed with Puch AI, a Bengaluru-based startup, intended for the development of artificial intelligence infrastructure. The state cited the firm's lack of financial credibility as the primary reason for the cancellation.

In an official statement released via InvestUP on Thursday, the government clarified that the decision followed a formal review conducted in accordance with standard operating procedures. This assessment revealed that the company lacked the necessary net worth and reliable financial backing required to manage a project of such significant scale.

"As per standard protocols laid by ...