Infosys Move To Settle With Sebi Is 'Perfectly Fine', Says Mohandas Pai

Hyderabad: The Infosys' move to settle with Securities and Exchange Board of India (SEBI) the alleged disclosure lapses involving a severance pact is "perfectly fine", the company's former chief financial officer, T V Mohandas Pai, said today. He disagreed with the whistleblower who has reportedly asked the market regulator SEBI to prosecute the IT giant's management and the Board.

"Settlement is a normal process. Anybody can file for settlement consent decree from SEBI. There are very clear norms. SEBI can do it; it's SEBI's prerogative," Pai said. On the whistleblower asking SEBI to prosecute the management as well as the board, he said, "That should be ignored. Consent order is fine. SEBI knows what to do best; leave it to SEBI."

The chairman of Aarin Capital and also Manipal Global Education Services stressed that consent decrees are a very normal part of any capital market. "It happens all the time in the US. It happens in all capital markets because some things are difficult to prove; companies don't want to go through ordeal of a regulatory action," he said.