IT services firm Coforge said Wednesday Chairman Om Prakash Bhatt resigned after an internal audit into a board evaluation found concerns, including that material information about his own performance had not been fully disclosed to the board.
Bhatt, who previously served as chairman of India's largest lender, State Bank of India, was appointed chair of Coforge's board in 2024 with a term due to finish in April 2027.
An audit into the board evaluation process and the resulting report, which were handled under Bhatt's guidance, identified concerns about how the report "had been dealt with and presented to the board", the company said.
The board raised its concerns with Bhatt and was evaluating his response when Bhatt tendered his resignation on Sept. 8.
The company did not elaborate on the specific nature of the information about Bhatt's performance that had not been disclosed to the board.
In his resignation letter, which was included in the regulatory filing, Bhatt maintained that he had acted in good faith.
"I believe that continuing on the Board while there remains a disagreement considering the characteristics of my good faith actions in the Board evaluation process would not be conducive to the effective functioning of the Board," Bhatt said in the letter.
Coforge named Vivek Sharma, a non-executive independent director, as interim chair until January 31, 2027.
Shares drop
Shares of Indian IT services firm Coforge fell more than 7% on Wednesday after Chairman Om Prakash Bhatt resigned following concerns raised by an internal audit over the company's board evaluation process.
Shares were down 7.12% at 1,809.20 rupees, as of 9:16 am IST.
Also read: Coforge inks $2.35 bn deal to acquire Encora; contrasting outcomes for Advent, Warburg Pincus
