Finally, under pressure from co- founders and a clutch of investors, country’s second largest software exporter company Infosys named former CEO and Aadhaar-architect Nandan Nilekani as its new chairman, replacing R Seshasayee.
Ravi Venkatesan also resigned as co-chairman, but will continue as an independent director.
Vishal Sikka, who quit last week as CEO but was made vice-chairman till his successor was appointed, also quit the board with immediate effect, the company said in a statement after its board meeting.
The board shake-up meets a key demand of the founder group led by NR Narayana Murthy, who had demanded a clean-up at the country’s second largest software services firm.
Two independent directors -- Jeffery S lehman and John Etchemendy -- also resigned from the Infosys board with immediate effect.
The crisis had been brewing at Infosys since Sikka abruptly resigned last week, blaming founders for slander.
The former Chief Financial Officer (CFO) of the software giant Mohandas Pai earlier in the day was quoted by a news agency that major investors in Infosys were in discussion with co-founder R Narayanana Murthy on ways to manage the company in the future
Pai also said all the co-founders would collectively take a decision on the return of Nandan Nilekani, a co-founder and former CEO, to the Bengaluru-headquartered IT firm.
“The major investors are talking to Murthy to come to a conclusion on how the company has to be managed in the future,” he told PTI.
The former CFO said he expected Infosys Chairman and Co-Chairman to step down in the next few days and a new Chairman and Board to be appointed.
“Many investors are asking for Nilekani to come back... Great demand for him to come back; the founders have to meet and decide; right now Murthy is not well,” Pai said.
Even a group of people claiming to be former Infosys employees, had also written to the Infosys Board expressing “disappointment” and “anguish” at the manner in which it responded to company founder Narayana Murthy following the sudden resignation of Vishal Sikka as CEO.
The former employees, most of them shareholders, have asked the Board to address the issues raised by Murthy with facts, and immediately withdraw the statement released which “unfairly and unjustifiably” blames him for the current crisis.
“We, a group of ex-Infoscions want to express our deep disappointment and anguish at the manner in which the Board has responded to Mr Murthy in the form of a letter last week to stock exchanges,” around 80 former Infosys employees said in an e-mail.
“We have worked closely with Mr Murthy for many, many years, representing a 1000 years of collective experience at Infosys- and believe the only thing he is and has always been concerned with is the good of Infosys.”
“Everything he has stated is to help Infosys be a beacon among Indian companies as far as performance and being a role model company in corporate governance,” they said.
longevity of the organization has been his ambition and driving force, founded on the cornerstone of a strong value system, they said.