PTC India Financial Services (PFS) told the Bourses on Sunday that the Effects and Exchange Board of India (SEBI) had asked him not to hold board meetings to discuss issues related to corporate governance and various subjects raised independently . Directors and former chairman in the next four weeks.
MoneyControl is the first to report on Saturday about the email company board received from market regulators. It has banned PFS, a non-banking financial company, from holding a board meeting scheduled for that day.
In accordance with Sebi Regulations, PFS has been seeking exceptions to hold a council meeting because three independent directors stopped together on January 19, quoting irregularities in corporate governance and compliance. But the email from Sebi clarifies that the regulator first wants management to overcome the problem raised by Director Director.
“It was informed that the company had received communication on January 22, 2022 from Sebi, informing that the Company was directed to address the problem of corporate governance and all other problems raised by ID-ID resigned and before holding the council of whatever the meeting and to submit action taken Reports in connection with Sebi within four weeks, “PFS wrote to the stock exchange.
On Friday, the management of the company and the parent PTC India (PTC) has held a press direction of the company’s governance issues raised and said that these problems would be taken at a council meeting on Saturday.
“These are two different things. The company has submitted a request for the liberation to hold a council meeting but Sebi has forbidden it for now. So, it is impossible for them to get exceptions until the report was submitted,” a source close to the development to MoneyControl.
On January 19, Kamlesh Shivji Vikamsey, Thomas Mathew T and Santosh B Nargging resigned as the Independent PFS director who accused irregularities in governance and compliance. They submit the same resignation and other supporting documents. They said that the former Rakesh Kacker bureaucrat was also written to management highlighting deviations in corporate governance before his term ended at the PFS at the end of December. Kacker is also in the PTC India Parent Entity Board (PTC). He resigned on Friday.
PTC and PFS management have denied the allegations and questioned the intention behind coordinated resignations. The internal committee will see the accusation, said PFS.
PTC and PFS shares fell in two consecutive sessions since the independent director came out from last Wednesday. PTC shares have shed more than 16 percent, while PFS has declined more than 22 percent in the last two sessions.
Former Chairman of Deepak Amitabh has raised concerns over the practice of corporate governance in the company at the Board Meeting in 5. August meetings. On the same date, the board, including the former chairman and independent director who came out, gave a clean corporate governance report for the financial year ended March 31, 2021 and was recognized with in-depth appreciation of cooperation received from the Board of Directors, “said PFS.
“We further hope to inform that then on September 24, 2021, the former chairman discussed the Company’s shareholders at the 15th Annual General Meeting by appreciation to the company and there were no concerns related to corporate governance.”
Accusation
Independent Director has made six allegations – one of which is related to the appointment of other directors, while five others are related to the operation and problem of corporate governance.
They said that the company violated the company acting as the Managing Director of PFS and Chief Executive Officer Pawan Singh did not allow “Mr. Ratnesh” to join and function as Director of Finance and Chief Financial Officer after the Board appointed him. They said Singh made a decision “unilaterally” and did not provide an explanation for it. PTC said then that independent audit in this case has been completed and the report will be submitted immediately to the Board.
The Board of Directors also accused the company not disclosing forensic reports from loan accounts related to NSL Nagapatnam Power and Infratech. Independent Director highlighted at least two instances where the conditions of the loan were changed without the previous consent.
Independent Director said that management did not take action after the former Head of PTC Deepak Amitabh raised several company governance problems at the council meeting on August 5 and their repeated efforts to increase their worries “openly”.
PTC India, formerly known as the Power Trading Corporation of India, held a 65 percent stake in PTC India Financial Services. The NTPC state power-power sector company, Power Grid Corporation of India, Power Finance Corporation and NHPC together have 16.2 percent of shares in PTC India.