Two key officials of Gitanjali Gems Ltd. have quit. The company informed stock exchanges that CFO Chadrakant Karkare and vice-president (compliance) and company secretary Pankhuri Warange had resigned.
Gitanjali Gems, founded by Mehul Choksi, a relative of Nirav Modi who defrauded Punjab National Bank to the tune of ₹11,500 crore, has also been linked to the scam.
In her resignation letter, Ms. Warange asserted that the resignation was a “conscious” decision.
Duty, responsibility
“Being a key managerial personnel and the designated compliance officer and company secretary of the company, I have certain statutory duties and responsibilities towards the stakeholders. The recent event unfolded in the organisation requires the company to make disclosures under the Companies Act 2013 and the Securities and Exchange Board of India requirements, 2015. I have advised the management on the required disclosures to be made. The absence of disclosures will have ramification not just on the company but also on the key managerial personnel,” she said in her resignation letter addressed to chairman and managing director of the company. She had since released the letter to the stock exchanges.
“There is, however, no consensus in my opinion on the disclosures to be made and that of the management, and, in these circumstances, my conscience doesn’t permit me to continue with my position. I have, therefore, taken a conscious decision of resigning and relinquishing my position as the company secretary and compliance officer with immediate effect,” she added
Mr. Karkare, on the other hand, gave personal reasons for his resignation. “Recently, my wife has undergone a major surgery called Hemicolectomy at Lilavati Hospital. The post-operation recovery is not up to the expected level. This has resulted in restriction on me carrying responsibilities as CFO and will be very difficult for me in future,” he said.
The company, it may be noted, had also announced the postponement of its board meeting. The board was scheduled to meet on February 14 to consider the quarterly results.
