Cognizant Technology Solutions is conducting an internal investigation into whether certain payments relating to facilities in India were made improperly, and in possible violation of the US Foreign Corrupt Practices Act, and other applicable laws.

The investigation is being conducted under the oversight of the Audit Committee, with the assistance of outside counsel, and is currently focused on a small number of company-owned facilities.

SEC notified The company said it has voluntarily notified the United States Department of Justice and United States Securities and Exchange Commission, and is cooperating fully with both agencies.

The internal investigation is in its early stages, and the company is not able to predict what action, if any, could be taken by the DOJ, SEC or any governmental authority in connection with the investigation, or the effect of the matter on the company’s results of operations, cash flows or financial position, it said in a Form 8-k filing to the US SEC.

The US-based software company has over 75 per cent of its employees located in India.

New president Meanwhile, the company has appointed Rajeev Mehta as president of the company, replacing Gordon Coburn, who resigned. “It was his decision to resign,” said a company spokesperson.

Profile In a press release, Cognizant CEO Francisco D’Souza said Mehta is a leader with strong client relationships forged over 20 years with the company. For the past decade, he has been leading the company’s market-facing teams.

As CEO (IT Services) at Cognizant, Mehta was responsible for market-facing activities and for delivery across Cognizant’s IT Services business.

His prior roles include serving as Group Chief Executive (Industries and Markets), where he was responsible for leading the company’s industry vertical and geographic market operations on a global basis, the release said.

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