Infy Woes: US SEC Starts Probe Into Whistleblower Allegations, Sebi Seeks More Info

Troubles continue to mount for Infosys as US market regulator SEC has initiated a probe on whistleblower complaints that alleged “unethical practices” by top management of the Bengaluru-based IT major. Back home, the Securities and Exchange Board of India (Sebi) has also sought additional information from the company, while the National Financial Reporting Authority (NFRA) – which is part of the corporate affairs ministry – has been asked to look into the matter.

Greyhound Research Chief Analyst and CEO Sanchit Vir Gogia said the steps taken by Infosys, so far, are in line with the standard protocol that publicly-listed companies ought to follow when under scrutiny for such a topic.

“While the objectiveness on behalf of Infosys is appreciated, we believe that the company ought to handle this case a little differently compared to the last case where it refused to release the report of the audit. This is a critical ask from many in the investor community who felt at a loss last time around when the company didn’t release the audit report,” he added.

[Press Trust Of India]

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Analyst:

Sanchit Vir Gogia: Sanchit is the Chief Analyst, Founder & CEO of Greyhound Research, a Global, Award-Winning, Technology & Innovation Research & Advisory firm. To read more about him, click here.

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