Religare's Governance Shake-Up: InGovern impact

InGovern's recent report on Religare has sent shockwaves through the corporate governance landscape. The report uncovered troubling practices, including the controversial issuance of stock options to Rashmi Saluja without the green light from the Insurance Regulatory and Development Authority of India (IRDAI).

As a result of the IRDAI's probe, Religare faces significant repercussions:

Share Buyback: Religare must buy back over 75 lakh shares allotted to Saluja at ₹45.32 each.

Stock Option Cancellation: Any unexercised or unvested stock options for Saluja are to be revoked.

Board Oversight: Future remuneration decisions for board members now require IRDAI's prior approval.

Financial Penalty: Religare has been slapped with a ₹1 crore fine.

This saga serves as a stark reminder of the importance of robust corporate governance and regulatory compliance.