The Managing Director of First Leasing Company of India Ltd, Farouk Irani, has resigned. In a regulatory filing on Friday, the company said Irani’s resignation has been accepted by the board of directors. It also noted that this acceptance, however, will not in any way absolve him of his duties and accountability to the company.

The resignation comes in the backdrop of the company seeking a forensic audit to check for possible diversion of funds. Justice S. Mohan, a former Supreme Court judge, has been appointed as Additional Director (Non-Executive and Independent) on the board.

N.C. Rajagopal & Co has been appointed as Special Auditor by the RBI to carry out the special audit of books of accounts and transactions undertaken by the company in the year ended March 31, 2010, the announcement said.