Departure of Independent directors from sinking firms raises questions

The departure of directors from sinking ships raises more questions than answers

Directors
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Illustration by Binay Sinha

Pavan Lall
Should independent directors be more accountable to companies that run into turbulence or is it their prerogative to exit when the going gets tough?

That’s a question corporate India is finding difficult to answer as it watches independent directors go for the escape hatch when the sailing isn’t smooth.

Recently, Vikram Mehta abruptly resigned from Jet Airways where he was an independent director, as well as a member of the troubled airline’s audit committee. Jet had posted a loss of Rs 13.26 billion in the first quarter and Rs 12.61 billion in the September quarter.What did he see

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First Published: Nov 25 2018 | 12:12 AM IST

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