Ratan Tata's TCS Faces Massive Penalty, Asked to Pay Rs 1600 Crore

By Consultants Review Team Monday, 17 June 2024

According to a regulatory filing on Friday, a US court found that Tata Consultancy Services was guilty of misappropriating trade secrets and fined the IT giant around USD 194 million (Rs 1600 crore). TCS, on the other hand, stated that it has compelling reasons to contest the ruling and is pursuing the required actions to safeguard its interests by means of an appeal or review.

The injunction was made against the business in a lawsuit brought before the United States District Court, Northern District of Texas, Dallas Division, by Computer Sciences Corporation (CSC), which has since merged with DXC Technology Company (DXC), alleging theft of its trade secrets.

"The court ruled that the business owes USD 112,303,166 in exemplary damages and USD 56,151,583 in compensatory damages to CSC. The IT giant stated in the petition that "the court also assessed that the company is liable for USD 25,773,576.60 in prejudgment interest through June 13, 2024."

It further stated that the court granted TCS various reliefs, including injunctions. "The company believes that the Judgement has no major adverse impact on its financials and operations," stated the statement.
 

 

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