on Friday said it has set up an internal committee to look into the governance issues in PTC Financial Services (PFS) as alleged by the NBFC’s outgoing independent directors.

PTC India acting chairman and managing director Rajib Kumar Mishra questioned the independent directors’ intent to raise questions regarding 10-year old loan and said PFS will soon fill the board level vacancies with ‘young’ people with ‘NBFC background’ to make faster decisions. He did not rule out an intent to ‘malify the company’.

For an issue pertaining to the appointment of a whole time director in PFS, PTC constituted a third party inquiry, which has submitted its report. PFS board will meet tomorrow for an agenda that Mishra denied to share.

“There are six issues raised by independent directors. For the first issue pertaining to the appointment of a whole time director, we have constituted a third party inquiry. The report has been submitted and it needs to be submitted to the board of PTC and if required PFS also. Once board clears it we will be in a position to give more details. For the rest of operational issues, we have constituted a committee headed by three executive directors and CFO level officials of PTC. They will be submitting a report in 30 days’ time. We are also trying to see whether a board level committee is also required to address those issues in ensuing board meetings,” he said at a virtual press meet.

Mishra said PTC has intimated about the exit of three independent directors of PFS to its administrative ministry and is in continuous dialogue with the Securities Exchange Board of India, Reserve Bank of India and all concerned authorities associated with the financial company and PTC.

Refuting charges of corporate governance issues, PFS managing director Pawan Singh said the company came out clean in its corporate governance report as of September and RBI’s annual inspection.

He said PFS is positioning itself as a sustainable infrastructure finance company as its exposure to thermal assets is expected to come down to 6% by end of this year from about 50% a few years ago. “For next year we have a plan to make it a zero thermal asset company, a carbon neutral company,” Singh said adding “The new board, which will be a little younger, little more hands on and either current incumbents in professional circles or in government circles will help us move faster.”

Mishra said PTC India is looking at the allegations made by the independent directors from all angles but there are factual errors in the resignation letter. “We are not ruling out anything. If it is substantive in nature we will like to look at it and improve our systems and procedure and if it is just to make an allegation we will simply say that this is intent to malify the company,” he said.

“The issues which have been raised now, for an independent director who was at the board for quite some time, they should have raised then and there and could have settled it. Rather than keeping it in the file for someday and submitting after giving it a thought…,” Mishra said.