iGate Corporation, a US-listed IT company, has sacked its president and CEO Phaneesh Murthy for not disclosing to the management his relationship with a subordinate employee. The company is also investigating charges of sexual harassment of an employee. This is the second time that Murthy is facing charges of sexual harassment.
Murthy, then a rising star at Infosys and head of the company's global sales team based in California, had to quit in 2002 when his personal secretary Reka Maximovitch accused him of sexual harassment.
The case was later settled for $3 million in May 2003.
The decision to sack him as iGate chief was made as a result of an investigation by outside legal counsel, engaged by the Board, of the facts and circumstances surrounding a relationship Murthy had with a subordinate employee and a claim of sexual harassment.
The investigation, which is ongoing, has reached the finding that Murthy's failure to report this relationship violated iGate's policy, as well as Murthy's employment contract, said an statement issued by the company.
The investigation has not uncovered any violation of iGate's harassment policy.
The company appointed Gerhard Watzinger as interim chief executive.
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