ADVERTISEMENT

Infosys Whistleblower Case: SEC Probe Over, No Further Action

In October 2019, Infosys received anonymous whistleblower complaints alleging unethical practices by top managers.

Published
India
2 min read
Infosys office.
i

In October last year, Infosys had informed stock exchanges of having received anonymous whistleblower complaints alleging certain unethical practices by the top management.Infosys on Tuesday, 24 March, said the US Securities and Exchange Commission (SEC) has concluded the investigation in the whistleblower allegations made last year, and that it does not anticipate any further action by the regulator.

In October last year, Infosys had informed stock exchanges of having received anonymous whistleblower complaints alleging certain unethical practices by the top management. It then started a probe into the matter and roped in external investigators.

US market regulator SEC had also initiated a probe into the matter.

ADVERTISEMENT

‘Will Continue to Cooperate With Authorities’

In a regulatory filing on Tuesday, Infosys said it has received a notification from the SEC stating that its investigation investigation has concluded. The company does not anticipate any further action by the SEC on this matter."

The Bengaluru-based company said it has responded to all the inquiries received from Indian regulatory authorities and that it will continue to cooperate with the authorities if there are any additional requests for information.

In January this year, Infosys had said its audit committee had found no evidence of financial impropriety or executive misconduct, virtually giving a clean chit to CEO Salil Parekh and CFO Nilanjan Roy who were accused by anonymous whistleblowers of rigging the company’s balance sheet.

Rosen Law Firm had stated it was preparing a class-action lawsuit to recover losses suffered by Infosys' investors in the US on account of the development.

While announcing the findings of the audit committee, Infosys had said it intended to vigorously defend the litigation. Shares of Infosys were trading at Rs 564.60 apiece, up 7.20 per cent from their previous close on BSE.

(This story was auto-published from a syndicated feed. No part of the story has been edited by The Quint.)

(The Quint is available on Telegram. For handpicked stories every day, subscribe to us on Telegram)

We'll get through this! Meanwhile, here's all you need to know about the Coronavirus outbreak to keep yourself safe, informed, and updated.

Liked this story? We'll send you more. Subscribe to The Quint's newsletter and get selected stories delivered to your inbox every day. Click to get started.

The Quint is available on Telegram & WhatsApp too, click to join.

ADVERTISEMENT
Stay Updated

Subscribe To Our Daily Newsletter And Get News Delivered Straight To Your Inbox.

Join over 120,000 subscribers!
ADVERTISEMENT