Bengaluru, Sept 1: Former chairman of Infosys R Seshasayee on Friday shot back at the company’s co-founder Narayana Murthy, claiming that the latter on carrying out his personal ‘vendetta' against him and his charges were extremely offensive.
“To quote an anonymous whistleblower letter that alleged many things, which have subsequently been proved baseless and false through multiple investigations by highly respected counsel, in order to give an impression to the audience that I lied to the shareholders, is patently offensive,” Mr. Seshasayee said in a joint statement issued along with former directors of Infosys, John Etchemendy and Jeffrey Lehman.
All three quit the board following a public spat with Mr. Murthy, who accused the management of the New York Stock Exchange-listed firm of irregularities in buying a Israeli company, Panaya, and failing to act on whistleblower complaints on the pay package given to top management, including former Chief Financial Officer, Rajiv Bansal.
In June, the company stated that Gibson Dunn & Control Risks completed a detailed independent investigation and did not find any evidence whatsoever of wrongdoing. There was no evidence supporting the whistleblower’s allegations on acquisitions and inappropriate contracting.
The probe also found no evidence that the former Chief Executive Officer, Vishal Sikka, received excessive variable compensation or incurred unreasonable expenses for security and travel.
The anonymous whistleblower wrote a letter to the Securities and Exchange Board of India and the U.S. Securities and Exchange, among others alleging Infosys overpaid for Panaya. The whistleblower's letter mentioned that Panaya was struggling to raise money and employees were leaving the company when the acquisition happened and the board overlooked the decision to buy the firm at a “premium”.
Mr. Murthy, during his investors call on August 29, reiterated his complete faith in new chairman Nandan Nilekani to take the company back to its “glory days”.
“Since my resignation from the Board of Infosys, I have kept away from making any public statements, despite provocations, since I sincerely want the Company to move forward, and not be bogged down with the issues of the past. Mr. Murthy's statement to the investors reported by the Press, however, forces me to issue this statement, which is done only to defend myself against personal attacks and patently false and slanderous accusations,” Mr. Seshasayee said in the statement.
“Mr. Murthy 's statement to the investors misleadingly attributes words to me that are
taken completely out of context, making it appear that I was not stating the truth. I wish to categorically state that I have always been candid and truthful in all my statements concerning Infosys.”
During a press conference in Bangalore, Mr. Seshasayee had said he was close to quitting the company at least three times.
“It is regrettable that Mr. Murthy 's campaign on the alleged governance lapses has continually slipped into personal attacks and slander on individual board members,” the statement added.
Mr. Murthy had invited him to join the board and entrusted him the Chair of the Audit Committee, while he was still the Chairman.
“As late as February '17, much after the alleged lapses took place, Mr. Murthy also issued a press statement that I was a man of high integrity. I am therefore at a loss to understand the motivations for this persistent vendetta against me."
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