A sessions court in Pune has issued a directive for the Maharashtra Police’s Anti-Corruption Bureau (ACB) to probe allegations against IT giant Cognizant Technologies. The accusations suggest that Cognizant paid bribes, facilitated by a contractor, to local government officials for obtaining permits and environmental clearances for its Hinjawadi campus between 2013 and 2014.
Legal Background
The court’s decision, made on April 19, stems from a complaint filed by environmental activist Prit Pal Singh, based on findings from the US Securities Exchange Commission (SEC). Singh’s petition urged the court to compel the ACB to register an offense against Cognizant, its Indian contractor, and a former company executive.
Judicial Observations
Additional Sessions Judge SB Hedaoo emphasized the gravity of the allegations, noting that evidence could vanish without prompt investigation. The court highlighted the need for a thorough probe, particularly into the involvement of government officials, without which progress in the case would be hindered.
Directive for Investigation
In accordance with the court’s order, the ACB Pune has been tasked with investigating the allegations outlined in Singh’s complaint. The directive, issued under section 156(3) of the Code of Criminal Procedure, mandates a comprehensive examination of the matter, culminating in a detailed report to be submitted to the court.
Details of Alleged Transactions
The complaint alleges that Cognizant and its Indian subsidiary acquiesced to demands for bribes, with USD 7,70,000 purportedly reimbursed to the contractor for payments made on behalf of the company. The complaint suggests that attempts were made to conceal these transactions through falsified vouchers and bills, eventually leading to legal repercussions in the United States.
Response from Cognizant
In response to queries, Cognizant stated its policy of refraining from commenting on ongoing legal proceedings while affirming its commitment to legal compliance.
