Caught on the wrong foot!

 

 

After the Satyam scam, every Indian IT company has been brought under the microscopic lens with plenty of skeletons still expected to tumble out from many cupboard. As a result, we have another IT major being caught on the wrong foot. Infosys has received a show cause notice from the service tax commissionerate in Bangalore. It has come under the scanner of the government for having allegedly evaded Rs.33 crore of service tax on the commission paid by the company for its global issues. The commissionerate has questioned the sponsoring of ADRs in overseas markets with an intention of increasing liquidity of its foreign-listed stocks, through which the company wanted to increase the foreign share holding in the firm. Company officials have responded by saying that the notice does not determine any liability on the company.