Infosys then said the agreement with Bansal had provided for non-compete obligations, as also other rights and obligations. Many observers believe the payment was suspended following objections, especially from some of Infosys's founders, that the amount was excessive.
Infosys's former CFO Rajiv Bansal is fighting for the portion of his controversial severance pay that the company has held back.
Bansal has invoked his rights to an arbitral tribunal+ , and former Supreme Court judge RV Raveendran has been appointed sole arbitrator in the case. The first arbitration meeting is scheduled in May, said sources familiar with the development. Law firm Indus Law is representing Bansal, while Nishith Desai Associates is Infosys's counsel in the matter.
When Bansal was leaving the firm in 2015, Infosys had agreed to pay him Rs 17.38 crore in severance+ -the equivalent of 24-month pay. But it disbursed only Rs 5 crore and halted the remaining payment. Infosys then said the agreement with Bansal had provided for non-compete obligations, as also other rights and obligations. "Certain payments to Rajiv under the agreement have been suspended pending certain clarifications with regard to such rights and obligations," it had said in a statement.