Indian-origin founder steps down from Swedish startup, alleges hostile immigration system

Abhijith Nag Balasubramanya, an Indian-origin entrepreneur and founder of Hydro Space Sweden AB, has stepped down as CEO and sold his company, citing immigration-related issues with Swedish authorities.

In a strongly worded public statement on Linkedin, Balasubramanya said he was ‘forced to leave’ Sweden by the end of the month following what he described as a prolonged and distressing experience with Swedish Migration Agency (Migrationsverket).

Not an exit by choice

According to Balasubramanya, his departure was not voluntary but the result of what he termed systemic dysfunction within the migration system. He alleged that his case was mishandled by officials who lacked business understanding and failed to provide clarity on required documentation.

He further claimed that the grounds for rejection changed during the process, calling it a moving goalpost strategy. In his statement, he also criticised what he described as a hostile political and administrative environment for international founders.

Balasubramanya said he established a fully operational agri-tech venture within six months in northern Sweden, generating local employment and contributing to regional food production. The company’s first harvest was reportedly welcomed by local retailers and customers in Skellefteå.

Despite this, he stated that he chose not to pursue a prolonged legal battle and instead decided to return to his home country, focusing on his mental health and future ventures.

In his message directed at international investors and startup founders, Balasubramanya cautioned that Sweden’s startup-friendly reputation may not reflect the on-ground immigration realities faced by foreign entrepreneurs.

While his claims reflect his personal experience, Swedish authorities have not publicly responded to the allegations at the time of reporting.

Balasubramanya concluded by thanking customers and partners in Sweden and expressed hope that his entrepreneurial journey in sustainability would continue elsewhere.