The country’s renowned IT firm TCS has suffered a major setback. An American court has imposed a fine of $194 million on Tata Consultancy Services.
There is a bad news for the country’s leading IT company TCS. An American court has imposed a fine of 194 million dollars on the company for misuse of trade secrets. According to the Times of India report, the American court has imposed this penalty on IT Services DXC (earlier company name CSC) for misuse of trade secrets.
The court has said in its decision that TCS will have to pay $56 million as compensation and $112 million for expeditious damages. The court has said in its order that $25 million pre-judgment interest will have to be paid before June 13.
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The billion dollar deal was canceled last year
In 2018, TCS got a $2.5 billion deal from US insurance company Transamerica. According to this deal, all the facilities were to be provided to Transamerica’s 10 million customers on a single platform. This deal was canceled in June last year. Then the deal was canceled citing microeconomic conditions.
TCS has said in the information given to the regulator that this decision will not have much impact on their financial situation. Also, there will be no impact on operations.
