MADRAS HIGH COURT DISMISSED INFOSYS'S PLEA CHALLENGING RS 6.7 CRORE DEMAND BY TANGEDCO

The Madras High Court in the case Infosys Limited v The Superintending Engineer, TANGEDCO observed and has rejected the petition filed by IT major Infosys wherein it challenged an order of TANGEDCO demanding around 6.7 crores as Shortfall Amount or Adjustment charges.

The bench headed by Justice GK Ilanthiraiyan in the case observed and has held that there was no infirmity or illegality in the proceedings and that the petition was devoid of any merits.

The court in the case noted that the demand made by TANGEDCO was not barred by limitation as per Section 56(2) of the Electricity Act.

The court in its order stated that this court finds no infirmity or illegality in the proceeding issued by the respondent and the writ petition is devoid of merits and liable to be dismissed.

In the present case, Infosys had approached the court after TANGEDCO raised a demand of Rs. 6,76,09,540.12 as Shortfall Amount or Adjustment charges.

It has been submitted by Infosys that a software facility in Chengalpattu where it was providing facilities like food courts, gymnasiums, shopping outlets, banking facilities, etc as welfare services to its 16,000 employees working out of its campus.

Further, Infosys claimed that it had leased out its premises to branded service providers and was not even charging for water and electricity.