USSEC begins probe on the whistleblower complaints against Infosys
Infosys is in touch with the USSEC and would cooperate with the investigation.
Infosys is in touch with the USSEC and would cooperate with the investigation, said the company in a filing to the BSE.
ET reported on Monday that a group terming itself as “ ethical employees” had written to the Infosys board and to the US Securities & Exchange Commission (USSEC), alleging that the company’s top managers were bending rules with regard to accounting of revenue from large deals and their profitability.
The Securities and Exchange Board of India (SEBI), the market regulator in India, has also requested additional information from the tech services major concerning the anonymous complaints.
Infosys said it is also aware of a class action lawsuit and "intends to defend itself vigorously in such a lawsuit".
"Infosys 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 US based on the generalized allegations in the anonymous complaints," said Infosys in its filing this morning.
Infosys on Tuesday issued a statement attributing to chairman Nandan Nilekani and said the anonymous complaints were first received by an Infosys Board member on September 30. The company’s audit committee was made aware of the charges on October 10 and the company’s non-executive board members discussed the matter on October 11, when they met to finalise the second quarter results.