TATA employees get a Rs. 1000 Crore fine

TATA Consultancy Services employees stole trade secrets from their clients and now have a hefty sum to pay.

TCS is India's leading IT service provider. They help clients in evaluating and suggesting various business proposals, recently, however, the decorated group's consultancy has been charged with Rs. 1000 crore intellectual property lawsuit. These are lawsuits that are placed on violating transfer for information. Bypassing on the information given from one client to another, there is no physical asset being transferred however, information that may be worth more than most physical assets is revealed to a third party.

In 2014 Epic Systems Corporation hired TCS and Tata America International Corporation (TAIC) to set up their systems at medical facilities in Portland. TAIC is part of the international TATA branch focussing on five different sectors, trading being one of them. Within a few months, the employees from TCS were replicating Epic Corp. software and breaching the laws of intellectual properties.

In 2016 Epic Systems Corp. haad asked for $240 Million in repayment for violation of intellectual property laws and $700 for punitive damages. The sum to be made ever since has been brought down to a total of $420 Million, however, TCS has defended itself by saying that there is a lack of proof with Epic Corps.

The case has been ever since rolling around whether Epic can prove that the software was taken away from them by TCS and whether it has been used or not. However, this is not the first time that TCS faces these issues. There have been many instances where TCS has been filed in these cases, especially their international branch in the CSC (Computer Science Corp.) case for again stealing intellectual property and software.

This is a large blow that the Indian IT sector has to take, even if the case is won by the TATA side the image does not shift. Due to this being the second mainstream case that has been filed against them it is difficult to see whether in the corporate world whether TCS would bounce back.

On the other hand, this is a smart move by Epic Corp. as in the past we have seen the famous Mr. Zuckerberg benefit from these espionages. The firms need to save their back, and for espionages to be uncovered. TCS has many more projects under its international branch, but it is probable that bargaining power shifts due to the lack of large scale orders and tasks.

TCS should attempt and resolve this matter by working on its image and executing a massive international project flawlessly.