Sep 3, 2013

Can you really trust your CEO? The Imprimis PR Story

In a rapidly growing India, decentralisation is increasingly becoming a staple of Indian business. With top-level managements delegating large amounts of work, CEOs today enjoy substantial power. But does this work to the business’ advantage? As the example of Imprimis PR, a sister concern of Perfect Relations, south Asia’s biggest image management consultancy reveals, abuse of power by CEOs can be a real risk for businesses.

Recently, ex-CEO of Imprimis PR, Aman Gupta was asked to resign from his position. The word on the street is that Mr. Gupta, who had been associated with the Perfect Relations group for about 10 years, was engaged in running PR agencies on the side, moving business from Imprimis PR to his smaller companies by offering clients more attractive prices. For someone who practically started his career with the group and owed his position in the industry to the Perfect Relations brand name, it appears that his own private agenda had become more important than the business he had been entrusted with. It appears that following his ouster, he has been unsuccessfully chasing the group’s current client base in hopes to advance his new companies.

A recent release issued by Perfect Relations states that the group is now conducting a financial audit to analyze the damage caused by Mr. Gupta’s unlawful activities. Rumor has it that Mr. Gupta swindled between Rs 4-6 crores from the company he was CEO of  the incident has made managements sit up and think about what companies today need to do to ensure that their employees stay on the track.

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