ICRA Ltd has ousted its Managing Director and Group Chief Executive Officer Naresh Takkar, nearly three months after the Securities and Exchange Board of India (SEBI) received an anonymous complaint alleging misconduct at the credit rating agency under him.
On July 1, Takkar was asked to proceed on leave until further notice.
"The board of directors of ICRA Ltd, after due consideration and taking into account the best interests of the company and its various stakeholders, has decided to terminate the employment of Naresh Takkar as Managing Director and Group CEO of ICRA, effective immediately. The ICRA Board will commence a search for a replacement," according to a statement released late on Thursday after market closing hours.
SEBI is currently probing an allegation against ICRA in May with regards to rating practices and methodologies the company followed during Takkar's tenure.
"ICRA remains committed to ensuring the independence and integrity of its rating process and sound corporate governance," said the statement.
"Vipul Agarwal, who was appointed as Interim Chief Operating Officer on July 1 remains responsible for day-to-day operation of the company until a CEO is appointed," it added.
Several rating agencies have come under scanner of the government and the central bank in recent months after the Infrastructure Leasing and Financial Services (IL & FS) crisis surfaced, which eventually plunged non-banking financial companies into a liquidity crunch.
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