Vishal Sikka says 'malicious stories' being spread to target him
Infosys said it has a strong, established internal process to evaluate acquisition targets and make investments.
Infosys chief Vishal Sikka on Monday said "false and malicious" stories are being spread about the $200-million Panaya buyout to target him even as the tech major asserted that no one from the management team benefitted from the deal.
In a letter to employees, Infosys chief executive Vishal Sikka lashed out at detractors for spreading "false and malicious" stories about the company and said they were "designed" to target him to the "point of harassment".
In a strongly worded email to Infosys employees, Sikka said the reports questioning the company's acquisition of Panaya are "orchestrated by people who are hell-bent on harming the reputation of the company and its employees".
In a late evening statement, Infosys said, "We categorically state that no member of the Infosys management team was involved in any prior investments in Panaya, and insinuations that anyone from the management team at Infosys benefitted from this acquisition are misleading and slanderous."
The IT giant added that it will investigate the charges made and "will respond to all queries received either directly or from the regulatory authorities" as per its process.
In February 2015, Infosys had announced buying the Israeli automation technology company for USD 200 million or Rs 1,250 crore in cash.
A section of media reported about a whistleblower's letter to market regulator SEBI, alleging irregularities in the acquisition of Panaya.
Referring to the charges, Sikka said "they create a false alternate-reality out of events and dates, with embellishments that are calculated to mislead and sensationalise".
He added that while these "distractions are expensive, draining and time-consuming", it is Infosys' burden to ensure that the company's business continues "unflinchingly".
"We cannot let these stand unchallenged, and we will take every step and pursue every avenue to strongly defend the company in the face of these unfair and unwarranted attacks," the Infosys CEO said.
Sikka is pitted against a clutch of co-founders led by N R Narayana Murthy voicing concerns over a spike in his remuneration and hefty severance packages for two former executives. Stating that the company has "far bigger battles ahead", Sikka urged employees to "rise above the distractions, focus on what really matters, and deliver".
"I am, as always, counting on your faith and unwavering attention to what really matters. Change is never easy, and change at the scale that we are undertaking may be unprecedented, and perhaps it is this change that has so inflamed some into trying to drag us all into the mud," he said.
Infosys said it has a strong, established internal process to evaluate acquisition targets and make investments.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
lok-sabha-elections-2024-final phase-7 voting-date-last day to vote general election timings-states-seats-key-candidates-constituencies-ls-polls-general-election-schedule-time-table-results-date
From Axis to IDFC First - These bank stocks can give bumper returns in 3-4 weeks – Check target price and stop loss
Rules Changing from June 1: Aadhaar card update, driving license, LPG price and others - Check Full List
Central Railways' 63-hour mega block to hit Mumbai local train services, check dates and other details
SBI Senior Citizen FD Interest Rates 2024: What Rs 2 lakh, Rs 4 lakh, and 6 lakh, and Rs 8 lakh investments will give you in 1-, 3-, and 5-year FDs
Gold and Silver rate today (May 30, 2024): Precious metal futures trade in red; yellow metal near Rs 72,000, white metal falls by nearly Rs 1,500
08:19 AM IST