Santha John, chairman emeritus, JWT Mindset, has resigned from the agency and given up her minority stake in the agency. She claims that her resignation is "due to the misdemeanors of the majority stakeholders".
In a conversation with Campaign India, John stated that the business of the company, that was one of the leading agencies in Hyderabad, was being diverted to other Wunderman Thompson branches in Chennai and Bengaluru and that the current management of the company has been demotivating the existing employees.
She said, "The existing management of the company have systematically destroyed the business of the company by choosing not to take any corrective measures. I have repeatedly brought these events to the notice of the management."
She claims that her protests were systematically ignored and the agency has slipped into the red, losing both revenue and employees. "I was always ignored. Mindset has moved from a profit making company in 2017, to a loss making agency in 2019. The majority stakeholders are not taking any responsibility, nor accountability, and instead have diverted business to other branches and depleted the staff from about 50 to below 10."
John further claims that Deloitte, the agency's auditors, are yet to submit a report even after being on the job for more than a year.
She said, "I fail to understand why the audit would take so long and why the reasons for the delay are not being communicated to me. I have received a notice from ROC stating that if the annual statements are not filed, then penal action would be taken against the directors of the company. Despite this, the management of the company has kept silent and chose not to take any corrective measures."
JWT, now called Wunderman Thompson, had agreed to acquire a majority stake in Mindset Advertising, a Hyderabad based advertising agency in 2011.
A statement from Mindset said, “Certain matters regarding Mindset are being enquired into and further comment is not possible at this stage.”
Top news, insights and analysis every weekday
Sign up for Campaign Bulletins
6 hours ago
Moves from SVG Columbus
11 hours ago
Moves from Kantar
11 hours ago
Watch the campaign conceptualised by Ogilvy