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U.S. agency begins probe into plaints against Infosys

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Firm says it will cooperate with SEC

The U.S. Securities and Exchange Commission, an independent agency of the U.S. federal government, has begun its probe into the whistleblower complaints against the top brass of tech major Infosys.

It may be recalled that a whistleblower letter on October 21 raised multiple concerns about ethical standards of the Infosys top management.

In a BSE filing on Thursday, Infosys said, “The company has been in touch with the Securities and Exchange Commission (SEC) regarding the anonymous whistleblower complaints and has learnt that the SEC has initiated an investigation into this matter.” The company further said it would cooperate with the SEC’s investigation. Meanwhile, SEBI has sought additional information from Infosys on the complaints. “The company will provide the information as per SEBI’s request. The company is also aware of a securities class action lawsuit that has been filed against the company in federal court in the United States based on the generalised allegations in the anonymous complaints. The company intends to defend itself vigorously in such a lawsuit,” it said in the filing.

To a query from BSE on non-disclosure of the complaints, Infosys said, “Consistent with company’s practice and whistleblower policy, complaints are presented to the audit committee of the board and thoroughly reviewed and appropriately dealt with. While dealing with these complaints, the company evaluates the requirements of various regulations including disclosures under Regulation 30 of SEBI (LODR) Regulations, 2015, as amended LODR Regulations.”

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Printable version | Dec 8, 2019 11:40:32 AM | https://www.thehindu.com/business/us-agency-begins-probe-into-plaints-against-infosys/article29789641.ece

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