US SEC concludes Infosys investigation, shares of company rise

indica News Bureau-
Sharing happy tidings with its employees in troubled times, Infosys on Tuesday said that the United States Securities & Exchange Commission has concluded its investigation into the whistleblower complaints and the company does not anticipate further action by the commission in this regard.
In a regulatory filing, the software major said that it cooperated in the investigation and has received a notification from the SEC on the conclusion of the probe.
“The company received notification from the SEC that the SEC has concluded its investigation and the company does not anticipate any further action by the SEC on this matter,” it said.
Infosys said that it has also responded to all the inquiries received from the Indian regulatory authorities and would continue to cooperate with the authorities if there is any additional request for information.
Last year, a few anonymous employees of the global software vendor accused its Chief Executive Officer (CEO) Salil Parekh and Chief Financial Officer (CFO) Nilanjan Roy of unethical practices for many quarters.
“Parekh and Roy have been resorting to unethical practices for many quarters, as evident from their e-mails and voice recordings of their conversations,” said the complainants, who called themselves ‘ethical employees’ in a 2-page letter to the city-based IT behemoth’s board of directors.
When there was no response from the board to their letter, an unnamed whistleblower on behalf of the ethical employees on October 3 wrote to the US-based office of the Whistleblower Protection Programme, alleging willful mis-statement material accounting irregularities for (the) last two quarters (April-September).
Infosys Chairman Nandan Nilekani later said that the complaints flagging unethical business practices have been placed before an Audit Committee.
Shares of the company rose on 9.17 percent Tuesday following the announcement of the completion of the SEC probe.

Related posts