An internal audit had raised concerns over the manner in which a ‘Board evaluation report’ was handled
| Photo Credit:
bl-online Administrator
Noida-based information technology (IT) services firm Coforge on Wednesday said its Chairperson OP Bhatt resigned abruptly from the company after an internal audit raised concerns over the manner in which a ‘Board evaluation report’ was handled, but added that the move will not have any bearing on the financial or operational performance.“....The Board Evaluation Exercise conducted in March/ April 2026, for the previous year, does not in any way relate to the company’s financial statements or financial reporting or to any financial matters of the company. Such matters solely relate to the Board Evaluation Exercise, which is a regulatory requirement,” it said in a filing to BSE.The company also clarified that such matters do not have any bearing on its operations, business performance and near-term, medium-term or long-term stated guidance.“The company is making this clarification to avoid any misunderstanding that matters relating to the board evaluation exercise have any connection with the company’s financial performance, financial reporting or business operations. The board and the management team continue to support the company in its business and operations as usual, and the company remains focused on executing its business and growth plans,” it added.In another regulatory filing, Coforge said, “Members of the board of the company have noted the resignation of Non-Executive Independent Director and Chairperson of the company, OP Bhatt with immediate effect.”The Coforge scrip tanked in the aftermath of the disclosure made through these BSE filings. The filings, however, did not offer any detail on the specific concerns that had been flagged, or what the particular gaps in disclosures were all about.Coforge further said Bhatt responded to the issues raised, and the board was in the process of considering and evaluating his explanation, and had not taken any final call in the matter.In his defence, Bhatt, a former chairman of SBI, maintained that he had acted in good faith, but tendered his resignation from the Board with immediate effect on September 8, 2026.“This is not a decision I have taken lightly,” he wrote in his resignation letter.“I have carefully considered the matters raised with me concerning the Board evaluation process, my response to those matters, and the circumstances that have followed. After such consideration, I have concluded that it is appropriate for me to resign from the Board of Directors of the company, with immediate effect,” Bhatt wrote.Bhatt said he served the company as an Independent Director and Chairman with a strong sense of responsibility and always sought to discharge duties independently, objectively and in the best interests of the company and all its shareholders.He said his record reflects efforts to maintain a balance between the interests of shareholders, management and the company.“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,” he noted.Bhatt said the matters he had referred to in his letter were the exact material reasons for the resignation, and added “I confirm that there are no other material reasons for my resignation”. The same message also resonated in the company’s filings related to Bhatt’s resignation.The company emphasied that the resignation followed the concerns identified by the internal audit and the subsequent process undertaken by the Board to seek and consider his explanation.Bhatt was named the Chairman of Coforge in June 2024 for a three-year term that would have ended in April 2027.Published on September 9, 2026
