Infosys, India's second-largest IT services exporter, has fired Abraham Mathews, chief financial officer of its BPO unit, for non-compliance with the company's code of conduct. Infosys's back-office services unit was overcharging Apple Inc, which has led to the exit of top executives. Infosys BPO chief executive officer Gautam Thakkar has resigned on moral grounds and would leave the company on November 30. However, no details about the charges against Mathews are available as of now.
The financial irregularities in question are not material in nature and the company has already made the required disclosures. The irregularities in its dealings with Apple were discovered during an internal audit. Though the audit showed that the financial impact of the wrongdoings on the company was minimal, Infosys has taken a tough stance on the issue to demonstrate its zero-tolerance policy for any improper conduct. Sources claim that Infosys is likely to fire at least six more employees, after investigations revealed that they had produced inflated invoices and allegedly overbilled Apple for many months.
Infosys had earlier this year brought in Vishal Sikka as its new CEO to craft a new strategy for the company, once a trail blazer for India's more than $100 billion IT outsourcing industry. But of late, it has been under tremendous pressure to retain its staff and market share in the wake of threats to its market leadership position. So much so that it had to bring back Narayan Murthy as Chairman once again to take command of the troubled gaint. Infosys has been voted as one of the Most Admired Companies many times over in several reputed surveys and abides by a value-driven philosophy of conducting business in an ethical manner. The company has been known to have a zero tolerance policy towards all corporate misdemeanours, including embezzlement and sexual exploitation etc.