Coforge Governance Crisis Deepens As NRC Chair DK Singh Resigns After Board Evaluation Row

Coforge, the Indian outsourcing services firm, is facing mounting governance issues following the resignation of its non-executive chairperson DK Singh from the nomination and remuneration committee. The resignation comes after an internal audit highlighted discrepancies in the handling of a board evaluation report, which was not shared with all board members.

This internal audit flagged concerns over the presentation and discussion of the report's findings, particularly the low rating given to the chairman category, which was not disclosed before the committee or the board. Singh's resignation was triggered by the tensions arising from the shift in the company's board structure from private equity-led to more independent.

The company has appointed interim chairman Vivek Sharma to oversee the search for additional independent directors and the appointment of a new chairman. Beth Boucher, an independent director, has been appointed as the new chairperson of the nomination and remuneration committee. Despite these internal challenges, Coforge reported a consolidated net profit of ₹5.19 billion for the June quarter, with revenue of ₹55.28 billion. The company's shares rose by 0.7% on the National Stock Exchange at ₹1,846.50.