Infosys Seeks To Clear The Air On Former CFO Rajiv Bansal’s Exit
In a bid to stem suggestions of irregularity in payments to its former Chief Financial Officer Rajiv Bansal, software giant Infosys Ltd. said it conducted two investigations following Bansal’s resignation that did not reveal any wrong-doing. In a statement declaring the terms of the severance, the company also clarified why some payments of his pay had been suspended.
Infosys signed a separation agreement with Bansal on October 11 last year, it said in a notice to the stock exchanges.
The agreement...explicitly enabled Rajiv to report to the regulatory authorities in future any matter of impropriety that he became aware of that happened during his tenure. The severance pay amounted to 24 months’ pay, amounting to Rs. 17.38 crore.Infosys Statement
The software company is currently paying out the severance amount in accordance with contractual rights and obligations, but some payments have been suspended pending certain clarifications. It has, however, also stated that the suspension of these payments is not on account of any extraneous considerations.
Some media reports had earlier suggested that the Infosys founders had stepped in to stop what they considered an over-generous severance payment.
In its statement, Infosys provided details of two investigations that were conducted by law firm Cyril Amarchand Mangaldas in 2015 and 2016 into the circumstances surrounding the separation.
“Both investigations were shadowed by KPMG, the company's auditors, and revealed no wrong doings or efforts to cover up any wrong-doing,” it said.