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Coforge Audit Finds Board Evaluation Concern Was Not Disclosed
Coforge reviewed how its board members were evaluated.
The review found that former Chairman OP Bhatt’s low evaluation rating was not shown to the board.
Bhatt later resigned as chairman.
Coforge said this issue is about how board governance information was handled.
It said the issue does not affect the company’s financial reports or business performance.
The company also said its board usually worked together and approved important decisions unanimously.
These decisions included buying Encora and leaving some businesses.
Vivek Sharma will serve as interim chairperson until January 31, 2027.
An audit found that former Chairman OP Bhatt’s low rating in the Board Evaluation Report was not disclosed to the board.
Coforge said the board evaluation process is separate from financial reporting, accounting policies and audits.
The company said the review examined governance processes, not its financial statements or operational performance.
Coforge said its board approved major business and governance decisions unanimously and worked closely together.
Following Bhatt’s resignation, independent director Vivek Sharma was appointed interim chairperson until January 31, 2027.
- Who
- Coforge, former Chairman OP Bhatt, and independent director Vivek Sharma.
- What
- An audit identified concerns about how the Board Evaluation Report was handled and presented, including the non-disclosure of Bhatt’s low rating to the board.
- Where
- At Coforge; no more specific location is stated.
- When
- The issue followed Bhatt’s recent resignation; Sharma will serve as interim chairperson until January 31, 2027.
- Why
- The audit reviewed governance processes surrounding the board evaluation, while Coforge said the matter is separate from financial reporting and business performance.
Audit Concerns
Coforge’s Clarification
Significance of the evaluation issue
Audit Concerns
The audit identified concerns about the way the Board Evaluation Report was dealt with and presented, including the non-disclosure of the former chairman’s low rating to the board.
Coforge’s Clarification
Coforge said the issue is limited to board evaluation and governance procedures and should not be interpreted as a problem with financial reporting or operational performance.
Board functioning
Audit Concerns
The handling of the evaluation report raised concerns about the board’s governance process.
Coforge’s Clarification
Coforge said the board worked closely together and unanimously approved its business strategies and governance decisions.
Key facts
- Former chairman
- OP Bhatt resigned recently.
- Audit finding
- Bhatt’s low rating was not disclosed to the board.
- Review scope
- The review concerned governance processes and handling of the Board Evaluation Report.
- Company clarification
- Coforge said the matter does not concern financial statements, accounting policies, revenue or profitability.
- Interim chairperson
- Vivek Sharma, a non-executive independent director.
- Interim term
- Until January 31, 2027.
- Board decisions
- Coforge said major strategies and governance decisions were approved unanimously.
Sources
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