Infosys Stocks Up 4% After Its Update on Whistleblower's Complaints, Tech Giant Says 'No Prima-Facie Evidence to Corroborate Allegations'
The news has brought some cheer to the Infosys stock which rose 6 percent in early trades and was trading at Rs 713, up around 4 percent. The IT major informed that they will soon update the stock exchanges on the basis of the findings of the investigation report.
Mumbai, November 4: Infosys on Monday informed that the company is yet to receive any strong evidence to corroborate whistleblower complaints against top executives. According to a Live Mint report, Infosys has informed that the complaints are still under investigation, however, there is no prima facie evidence received by the company. Infosys Crisis Explained: Here's What Has Gone Wrong At The Tech Giant And Why Shares Are Falling.
The news has brought some cheer to the Infosys stock which rose 6 percent in early trades and was trading at Rs 713, up around 4 percent. The IT major informed that they will soon update the stock exchanges on the basis of the findings of the investigation report.
In mid-October there was panic in the market as the shares of Infosys nosedived 15 per cent, making it the biggest fall in over six years after anonymous whistleblowers accused the Chief Operating Officer (CEO) Salil Parekh and Chief Financial Officer (CFO) Nilanjan Roy of "unethical practices".
An anonymous group, who identified themselves as ‘Ethical Employees’, in a letter dated September 20, alleged that Infosys’ management was taking “unethical” steps to raise short-term revenue and profit. Infosys co-founder and company Chairman Nandan Nilekani stepped in to grapple the crisis that led to Rs 53,000 crore erosion in market cap. Law firm Shardul Amarchand Mangaldas was hired to independently investigate the whistleblower allegations.
(The above story first appeared on LatestLY on Nov 04, 2019 02:00 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).