NBFC firm Aditya Birla Capital Ltd (ABCL) on Monday said Ajay Srinivasan has decided to step down as MD and CEO of the company and his departure has nothing to do with an investigation into alleged irregularities and corruption.
According to reports, serious allegations of corruption and mismanagement have been leveled by a whistleblower against the company and the top management.
Refuting allegations, Aditya Birla Capital's spokesperson said Srinivasan had expressed his desire to take on a new role within the group after having served as Chief Executive for over 14 years and a new role is being crafted at the Group level in consultation with him.
ABCL is the holding company for the financial services businesses of Aditya Birla Group. Subsidiaries of the company include Aditya Birla Sun Life Insurance, Aditya Birla Sun Life Mutual Fund, Aditya Birla Health Insurance Limited, and Aditya Birla Finance Limited.
The spokesperson further said that there have been no employee exits at Aditya Birla Capital and Aditya Birla Sun Life AMC as a fallout of these malicious allegations.
Acknowledging that the company received a complaint in which certain allegations were made against Aditya Birla Sun Life AMC and its employees, the spokesperson said an independent committee formed to investigate the allegations did not find any merit.
Earlier this month, Axis Asset Management Company, the mutual fund promoted by Axis Bank, suspended two of its fund managers for alleged irregularities.