End of the road for Karhoo, a US$250m would-be Uber rival

Washington

WHEN bills for a corporate credit card used by Karhoo Inc chief executive officer Daniel Ishag arrived, employees in the London office of the car-hailing startup often spotted unusual purchases. There were designer shoes and clothing, along with veterinarian's bills for a pet dog.

The employees flagged the costs as potentially non-business related, but signs of lavishness continued - first-class flights, a blowout in Las Vegas, Cuban cigars.

Mr Ishag's spending, described by several employees and those familiar with Karhoo's finances, came to an abrupt end last week when the company shut down after running out of money. As the extent of the startup's financial problems became known in recen…