Shares of PTC India Financial Services plummeted 16 percent to Rs 21.55 apiece on the National Stock Exchange after three independent directors resigned and raised concerns over corporate governance standards at the company.
On Wednesday, PTC India Financial said that Kamlesh Vikamsey, Thomas Mathew, and Santosh Nayar had resigned with immediate effect.
“All independent directors including Rakesh Kacker, whose term ended on December 31, have noticed and brought to the attention of the board and management various instances of serious lapses in corporate governance,” said Mathew in his resignation letter filed by the company to the bourses.
He raised concerns around the handling of the appointment of Ratnesh as finance director and chief financial officer. The independent directors alleged that the chairman and managing director Rajib Kumar Mishra “did not allow” Ratnesh to join and function as director of finance and chief financial officer.
Further, the independent directors alleged that the chairman and managing director unilaterally put the joining of Ratnesh on hold without informing the board. Eventually, Ratnesh returned to NTPC.
The independent directors further raised concerns over the two-year delay in tabling a forensic audit report on bridge and term loans to Nagapatnam Power and Infratech Pvt Ltd worth Rs 125 and Rs 150 crore, respectively.
A committee of two independent directors that looked into the delay itself faced delays and non-cooperation from management. “The committee in its report recommended that the Nagapatnam matter be reported to the central bank as a suspected fraud,” Mathew said.
The allegations by independent directors are likely to increase scrutiny of the chairman. The company earlier today said that the resignation of the independent directors will be addressed at the board level.
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