The largest Indian IT company, TCS, has suffered a significant setback in America. An American court has fined the Tata Group IT company billions of dollars. The company itself provided this information.
This Allegation Was Made On TCS
TCS said on Friday that the United States District Court of the Northern District of Texas, Dallas Division, has fined it more than $194 million. This fine is imposed due to the allegation that TCS misused trade secrets. Computer Science Corporation (CSC) had accused TCS of misusing trade secrets. CSC is now known as DXC Technology Company.
This Is How The Fine Was Imposed
According to the information TCS provided to the stock markets, the fine of more than $194.2 million imposed on it includes compensatory damages of $561.5 million, exemplary damages of $112.3 million, and pre-judgment interest of $25.8 million. The total amount of the fine in Indian currency comes to about Rs 1,622 crore.
TCS Will Challenge The Order
However, the Indian IT company has strong grounds to challenge the court’s decision. TCS said that it would challenge the decision of the District Court in the appropriate court and file a review petition. TCS said it had received the relevant order from the court on June 14, 2024.
TCS Started This Preparation
TCS feels that the court’s decision to impose a huge fine will not have any significant financial impact on it. The company is preparing to take the necessary steps to protect its interests and face the legal challenges arising from this order. After reviewing the petition and challenge, TCS hopes the decision will come in its favour.
