New Delhi, Feb 8: The founders of Infosys Ltd. expressed disquiet the company’s board over certain corporate governance including the pay hike given to Chief Executive Officer Vishal Sikka, according to reports. Infosys founders NR Narayana Murthy, Kris Gopalakrishnan and Nandan Nilekani reportedly questioned the pay hike given to Vishal Sikka, the appointment of Punita Sinha as an independent director and a large severance pay of Rs 17.4 crore to ex-CFO Rajiv Bansal.Also Read - Students of This University Have Received Over 8500 Job Offers From 1400 Recruiters, Highest Salary Package at Rs 42 Lakh
The rift between Infosys founders and CEO Vishal Sikka is said to be widening, with the majority of the board, led by chairman R Seshasayee backing CEO Vishal Sikka, according to a report of Times of India. The founders, who raised concerns about company’s corporate governance, together, own 12.75 per cent in Infosys. The co-founder of Infosys N R Narayana Murthy and his family own the largest block. Also Read - Income Tax Return Alert: Govt Plans To Extend ITR Filing Deadline Amid Glitches on Portal, Notice to be Issued Soon
In response to queries, the Infosys spokesperson said all decisions taken by the company were bona fide and backed by appropriate disclosures. He also said all stakeholders, including founders were consulted before taking decisions. NR Narayana Murthy, Kris Gopalakrishnan and Nandan Nilekani haven’t said so far on the developments. Also Read - Income Tax Portal Glitches: FM Sets September 15 Deadline to Resolve Issues in Meeting With Infosys CEO Salil Parekh
According to Infosys, Vishal Sikka’s cash compensation went down and the increase has been primarily in RSUs (restricted stock units) and stock options. Sikka is said to have laid out a stiff target of $20 billion in revenue. Infosys currently has revenue of about $10 billion.
According to a report of Reuters, former chief financial officer Rajiv Bansal’s severance package amounted to 173.8 million rupees, or 24 month’s pay, and the agreement was “being administered in accordance with the contractual rights and obligations”, Infosys said in a statement last year.