TCS bribe-for-jobs: IT juggernaut fires 16 employees, 6 vendors debarred

TCS said the investigations found that none of the company’s key managerial personnel were involved, and added that this is not a fraud against the company. It does not have any financial implications either, it added.

Following a detailed probe into the bribes-for-jobs scandal that drew severe heat towards IT bellwether Tata Consultancy Services, the company has fired 16 employees and removed three people from resource management functions, besides barring six vendors from carrying out any further business with company.

“Our investigation found 19 employees to be involved and action has been taken against all as detailed here - 16 employees have been separated from the company for code of conduct violations, and three employees have been removed from the resource management function,” TCS said in an exchange filing on Sunday.

The statement added that six vendor entities, their owners and affiliates have been debarred from doing any business with TCS.

This comes three months after the IT major launched an investigation to look into allegations involving staffing firms bribing senior TCS executives involved in recruitment processes to get business with the company.

“We would like to reiterate that this does not involve any fraud by or against the company and there is no financial impact,” it said, adding that the issue relates to breach of code of conduct by certain employees and vendors, and no key TCS managerial person has been found to be involved.

TCS said in the filing that it is taking several measures to enhance corporate governance, including regular rotation of personnel in the resource management function, enhanced analytics on supplier management, periodic declarations by vendors on Tata Code of Conduct and vendor management process audits.

In a post-earnings press conference last week TCS Chief Executive K Krithivasan had said, “We have completed our investigation. We have taken appropriate action against whosoever had violated the code of conduct. All actions have been taken and it is closed.”