This could mean an end to the talks for a possible partnership between the two firms in the multi-brand retail space -- less than a year after 51 per cent foreign investment was allowed in the sector.
The government had constituted a one-man probe panel to look into Walmart's lobbying activities, after a political furore over the issue late last year.
The news that Welspun has run into trouble with one of its biggest US-based clients has stressed its suppliers and investors alike
The chain readies to expand its footprint as Bharti focuses on its retail venture.