VC's apathy towards founders without elite college education kills a startup. (lionsher.com)

This could very well be a one off incident but is very discouraging for people who actually try to start something here in India.

fortunately I have apathy for VCs regardless of where they went to college

It sounds more like they killed your motivation to continue - you had a product and top tier customers, they didn't take that away from you.

Have you considered a sale of the business?

Really, its like blaming someone else for your mistakes. Uncool