An arbitral tribunal has told Infosys to pay former chief financial officer Rajiv Bansal a severance amount of ₹ 12.17 crore with interest as it rejected the Bengaluru-based company’s counterclaim for a refund of a previously paid severance amount of ₹5.2 crore and damages.
“The arbitral tribunal has communicated its decision in the arbitration proceedings in relation to the severance agreement between the company and its former CFO, Mr. Rajiv Bansal. Per the award, Infosys is required to pay Mr. Bansal the outstanding severance amount of ₹12.17 crores with interest,” according to a BSE filing.
“While the award acknowledges that Infosys had bona fide disputes, its counterclaim for a refund of previously paid severance amount of ₹ 5.2 crores and damages, has been rejected. The arbitral award is confidential. Infosys will take legal advice for necessary actions to be undertaken in respect of the award.”
Mr. Bansal quit the company in 2015 and was supposed to get ₹17.38 crore at that time. That amounted to 24 months of his pay. Infosys didn’t pay Mr. Bansal the rest of the amount.
The co-founders of Infosys, led by N.R. Narayan Murthy, had objected to the severance pay package as more than acceptable. Mr. Bansal took Infosys to the tribunal last year to contest the severance pay. His contention was that it was less than what was agreed upon.
