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NEW DELHI : In a fresh twist to the ongoing imbroglio at PTC India Financial Services (PFS), the proposed board meeting to be held on Saturday couldn’t take place with the market regulator Securities and Exchange Board of India (Sebi) not providing the necessary approvals, said two people aware of the development.

Citing corporate misgovernance Rakesh Kacker, a former bureaucrat, on Friday stepped down as an independent director from the board of PTC India—PFS’ parent company. Kacker, a former IAS, was also on the board of PFS till 31 December 2021. Earlier, all three independent directors of PFS—Kamlesh Vikamsey, Thomas Mathew, and Santosh Nayar— had resigned from PFS, resulting in a sharp sell-off in PFS shares.

Mint earlier reported about PFS planning to accept the resignation of all three independent directors—Kamlesh Vikamsey, Thomas Mathew, and Santosh Nayar—in January 22’s board meeting and initiate steps to hire new independent directors. Also, audit firm KPMG has been roped in to conduct a “forensic study" on the allegations levelled against the company’s management.

Queries sent to SEBI on the PFS’ proposed board meeting on Saturday wasn’t immediately answered till press time.

“We have already applied for exemption from SEBI to hold the PFS board meeting and we are going ahead with the management committee meeting to select independent directors," PTC India chairman and managing director Rajib K. Mishra told Mint.

Earlier, Mint had reported about the Sebi, Reserve Bank of India, and ministry of corporate affairs (MCA) in the process of writing to the company seeking their version of the events.

On Friday, PTC India CMD Rajib K. Mishra in a media briefing termed the allegations made by the three outgoing independent directors of PFS an attempt to “malign" the company. Questioning the timing and intent of the resignations, Mishra said that certain issues raised by the directors were nearly ten years old.

PTC India Ltd. was set up in 1999 as a Public-Private initiative. With a 16.20% stake state run firms— NTPC Ltd, Power Grid Corporation of India Ltd (PGCIL), NHPC Ltd and Power Finance Corporation (PFC) are promoters of PTC India, the country’s largest electricity trader.

“We are in receipt of resignations from three independent directors mentioning some reasons. We refute the allegations by the outgoing directors, which were due to our adherence to best corporate governance practices under guidance of promoter, regulator and Government of India. The matter will be addressed at the board level and subsequent update will be communicated to all the stakeholders appropriately," PTC India Financial Services Limited said in a 20 January notice to the stock exchanges.

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