Infosys to defend against any class action suit in US

Infosys on Monday said it will defend itself if the US law firms file any case against the company.

“If such a lawsuit is filed, the company intends to defend itself vigorously,” the company told DH. Undermining the press releases issued by global investor rights law firm, Rosen Law Firm, along with two other US law firms - Bronstein, Gewirtz and Grossman and Pomerantz Law Firm will be investigating potential securities claims on behalf of shareholders of Infosys, following the exit of Vishal Sikka as CEO.

Infosys said, “After a public company’s stock price declines, such press releases seeking a potential shareholder plaintiff are common in the United States.” However, despite plans of a class action lawsuit by Rosen Law Firm to recover losses suffered by Infosys investors, there has been no case filed against the company till now.

On Friday, Infosys announced the resignation of Sikka, whose resignation came amid criticism by Infosys’ founders of decisions by Infosys’ board, including executive compensation and severance payouts.

Sikka’s resignation letter stated, “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.”