Ajay Srinivasan quits as MD of Aditya Birla Capital

Aditya Birla Capital Ltd (ABCL) on Monday stated Ajay Srinivasan has determined to step down as MD and CEO of the corporate as he had “expressed his desire to take on a new role within the group”.

“The company received a complaint in which certain allegations were made about Aditya Birla Sun Life AMC and its employees. As per the Aditya Birla group policy, an independent Committee was formed to investigate the allegations,” the corporate stated in an alternate submitting. According to a media report, critical allegations of corruption and mismanagement, together with entrance operating and insider buying and selling, have been levelled by a whistle-blower towards ABCL and Aditya Birla Sun Life AMC.

“The committee did not find any merit in the allegations. There was no allegation whatsoever, made against Ajay Srinivasan, by the said employee,” an organization spokesperson stated.

“In so far as Srinivasan stepping down is concerned, it is clarified that Srinivasan had expressed his desire to take on a new role within the group, after having served as Chief Executive for over 14 years,” it stated. “A role is being crafted at the group level in consultation with him,” he stated.

“A story has appeared, this morning, based on insinuations of vested interests. These insinuations/ allegations are bereft of facts,” it stated. The board of Aditya Birla Capital lately appointed Vishakha Mulye as the subsequent CEO of Aditya Birla Capital.

ABCL is the holding firm for the monetary companies companies of the Aditya Birla group. The scale is evidenced with general AUM throughout asset administration, life insurance coverage and medical insurance companies, rising 16 per cent yr on yr to over Rs 372,423 crore.

Aditya Birla Capital fell by 5 per cent to Rs 95.05 and Aditya Birla Sun Life AMC Ltd plummeted by 7.44 per cent to Rs 452.30 on the BSE on Monday.

“There have been no employee exits at Aditya Birla Capital and Aditya Birla Sun Life AMC, as a fallout of these malicious allegations. Girish Patil left the company to pursue better prospects outside the group. Vineet Maloo moved internally within Aditya Birla Group, in line with the group’s policy of career progression,” it stated.

“The reference in the article associating his new role with the AMC business is not correct and mischievous. Further, it is also not correct as mentioned in the article that Girish Patil is related to Mahesh Patil. Girish Patil and Mahesh Patil are not related to each other in any manner,” the corporate stated.

“Aditya Birla Sun Life AMC has a 27-year track record and strong credibility for having adhered to the highest standards and processes. Across the Aditya Birla Group we have a robust mechanism of dealing with complaints and grievances, if any,” it stated.

Axis Asset Management Company, the mutual fund promoted by Axis Bank, lately suspended two of its fund managers for alleged irregularities, together with entrance operating.