No corporate governance lapses in the company, says ZEEL

Zee Entertainment Enterprises Ltd (ZEEL) has taken cognizance of reports pertaining to possible corporate governance lapses in the company and subsequent probes by relevant departments and has called them “incorrect and false”.

In a statement issued, a company spokesperson said, “The reports also indicate vested interests of a third party.”

ZEE refuted media reports on a Rs 2,000 crore ‘accounting hole’ in the company’s books. “ZEE has maintained utmost standards of governance; and is a company that is guided by an experienced Board. The company has consistently extended complete co-operation to all concerned authorities and has transparently provided all information requested,” the spokesperson affirmed, adding, “The Company and its Board are taking all the required measures to protect the interest of its shareholders.”

As reported yesterday, the ZEEL Board has approved the constitution of an Independent Advisory Committee that will enable it to review and take cognizance of the widespread circulation of misinformation, market rumours, and speculation that has led to the formation of negative public opinion about the company and consequent erosion of investor wealth. The Committee will be presided by Dr Satish Chandra, a former Judge of the High Court of Allahabad, and will comprise of two Independent Directors of the Company – Uttam Prakash Agarwal and PVR Murthy.

Meanwhile, ZEEL has also requested SEBI to take cognizance of such market rumours that lead to misinformation and consequently erosion of investor wealth.