Infosys CEO resigns after ‘malicious and personal attacks,’ shares plunged 10%

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The CEO of Indian IT services, Infosys, has quit the top job after declaring an unusual statement in which he lamented of months of “false, baseless, malicious and increasingly personal attacks” from the founder of Infosys.

The retirement of Vishal Sikka shook investors, putting the company’s share price down by almost 10pc, as it focused on the disagreement between the board and founders at Infosys, one of India’s biggest IT firms.

Narayana Murthy, one of the founders, still possess 12.75pc of the firm and have regularly criticised its administration, especially on matters of wages.

In his resignation message, Dr Sikka read:

“Over the last many months and quarters, we have all been besieged by false, baseless, malicious and increasingly personal attacks.

“This continuous drumbeat of distractions and negativity… inhibits our ability to make positive change and stay focused on value creation.”

He was backed by the Infosys committee, which issued an announcement saying Dr Murthy had “undermined” the group.

“Dr Murthy’s continuous assault… is the primary reason that the CEO, Dr Vishal Sikka, has resigned despite strong support,” the company said.

“Dr Murthy’s campaign against the board and the company has had the unfortunate effect to undermine the company’s efforts to transform itself.”

A recent email from Dr Murthy had stated: “All that I hear from at least three independent directors are complaints about Dr Sikka. They have told me umpteen times that Dr Sikka is not CEO material but CTO material.”

An analyst at HDFC Securities, Apurva Prasad, announced: “There is some level of uncertainty as we wait until the new CEO and managing director comes in, and it does put the company in some form uncertainty in terms of the strategy.”