Once bitten, twice shy. Perhaps this adage is quite true in the case of mobile value-added services (VAS) provider OnMobile Global Ltd, which has seen quite a turmoil in the recent past following allegations that its then chief executive officer (CEO) and managing director (MD) Arvind Rao indulged in related-party transactions and compromised corporate governance ethics.
After Rao resigned from OnMobile last month following a “special review”, the company does not want to take any chance. The Bangalore-based company has split the positions of CEO and MD and has decided to appoint two different persons to those positions.
While Mouli Raman, co-founder who steered the technological initiatives within the company all these years as the chief technology officer, has already been appointed as MD, the company is on the lookout of a CEO.
This is for the first time that OnMobile will have different executives handling the positions of CEO and MD. Since the company’s inception in 2000, Rao had been holding both positions until recently when his role in compromising the company’s corporate governance standard was questioned.
“I am committed for the company for the long term. We are also looking for a new CEO, and between the CEO and me, we will take the company forward,” Raman told Business Standard on Monday. Earlier, the company had announced Raman was appointed as the ‘interim MD’. Raman said it was the company’s board that decided to split these positions “in the best interests of the company”.