New Delhi: An arbitral tribunal has directed Infosys Ltd to pay former chief financial officer Rajiv Bansal an outstanding severance of ₹ 12.17 crore with interest, the company said in a filing to the stock exchanges today.
Infosys told to pay Rajiv Bansal outstanding severance of ₹ 12.17 crore
“The award acknowledges that Infosys had bona fide disputes and that its counter claim for refund of previously paid severance amount of ₹ 5.2 crores and damages, has been rejected,” the filing said.
Infosys will take legal advice for necessary actions to be undertaken in respect of the award.
Rajiv Bansal had in April 2017 dragged Infosys to arbitration to claim the remaining ₹ 12 crore of his severance pay, Mint reported on 20 April 2017. Infosys had agreed to pay Bansal a severance amount of ₹ 17.38 crore or 24 months of salary, but the company suspended payments after he got ₹ 5 crore as co-founder N.R. Narayana Murthy and others objected to the severance pay as excessive.
The Infosys board did not record the proceedings of a 12 October 2015 meeting where it discussed paying ₹ 17.38 crore in severance pay to Rajiv Bansal, Mint reported on 15 February 2017.
On Tuesday, Infosys shares were trading 0.70% lower at ₹ 721.50 on the BSE. The benchmark index Sensex was 0.07% weaker at 37557.96 points.