Whistleblower case: Infosys writes to clients as allegations reveal dissent

Infosys has written to clients apprising them of them of the developing situation on whistleblower allegations and subsequent investigations by the company and regulators, said sources in the company.

An anonymous group called Ethical Employees, in a letter on September 20, alleged that Infosys’ current management was taking “unethical” steps to inflate short-term revenue and profit. It also flagged concerns about several zero-margins deals, which were closed by the current management “flouting norms”.

The letter was made public last Monday, after which Infosys’ stock price was badly hit, though it has recovered a bit in the last trading session. The IT major is currently facing investigations from the Securities and Exchange Board of India and the US SEC, apart from class-action suits from some US-based law firms. read more »

Boeing CEO: 'We know we made mistakes' on 737 MAX

Chief Executive Dennis Muilenburg will acknowledge Tuesday before Congress that the company made mistakes after two deadly 737 MAX crashes killed 346 people, according to written testimony seen by Reuters.

“We have learned and are still learning from these accidents, Mr. Chairman. We know we made mistakes and got some things wrong,” Muilenburg will tell the Senate Commerce Committee, adding that the company has made improvements to the now-grounded airplane “that will ensure that accidents like these never happen again.” The testimony has not yet been made public. read more »