Bangalore, India – June 28, 2012: A number of news items appearing in the press have reported that the board of directors of OnMobile Global Limited has ordered a probe against the company's promoter and CEO Arvind Rao for alleged misappropriation of funds for which an external auditor has been appointed to establish the charges against Arvind Rao which include diversion of company funds to another entity promoted by him and also that the Company has terminated the employment of Sandhya Gupta, M & A head, as part of the probe. The Company denies all such rumors and allegations, which are baseless and devoid of factual accuracy.
Arvind Rao is not being investigated by the Board for any misappropriation of funds. Arvind Rao is a VAS pioneer and has led OnMobile to much success over the years and enjoys a high professional reputation in the market. Arvind while continuing as Managing Director, spearheads the international business. To ensure that the rest of the business gets adequate focus the day to day operations of the Company are being overseen by a sub committee of the Board.
Sandhya Gupta, Head M&A resigned for purely personal reasons earlier this year. Her departure from the Company was not a result of any allegations of wrongdoing.
All appointments of external consultants by OnMobile over the past year have been pursuant to the “OnMobile 2020” strategy announced last year. The external consultants have been engaged to review, rework and strengthen the Company’s corporate governance policies, including internal control mechanisms, procurement-to-payment processes, risk management framework, succession planning etc.
OnMobile’s Board includes industry stalwarts and highly reputed professionals. We assure our stakeholders that OnMobile is a professionally managed and Board governed company, committed to following the highest standards of corporate governance to maximize stakeholder value.
OnMobile [NSE India: ONMOBILE], headquartered in Bangalore, India, and with offices in all regions of the world, delivers millions of music plays daily to mobile customers worldwide. Based on current deployments, OnMobile has the potential to reach more than 1.1 billion mobile users across several geographies. For further information, please visit www.onmobile.com