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iYogi was co-founded by Uday Challu and Vishal Dhar in 2007. Sequoia Capital, Draper Fisher Jurvetson, Canaan Partners, SAP Ventures, and SVB India Capital Partners are the venture capital firms that have invested in the company. In 2009 the firm acquired Utah-based Clean Machine Inc. and appointed its founder, Larry Gordon, as President Global Channel Sales. In 2010, iYogi raised US$30 million in Series D round of funding led by Sequoia Capital with follow-on investment from existing investors. Earlier in the same year, the company had secured investment of $15 million from Draper Fisher Jurvetson and others. In July 2014 the Axon Partners and Madison India Capital invested $28 million into the company. As of 2014, iYogi's estimated valuation was $400 million. In April 2016 the company was being sued by the US state of Washington and six or more companies, with allegations of scamming customers into buying unneeded software, falsely claiming affiliation with major companies suc