TCS, India’s largest software services company, is currently undergoing an internal investigation following allegations of corruption in its recruitment process. Reports emerged last week claiming that TCS was involved in a bribes-for-jobs scandal worth Rs 100 crore. However, the company has categorically denied any involvement in fraudulent activities and maintains that it adheres to ethical business practices.
Despite dismissing the allegations, TCS has initiated an internal investigation and is consulting with external auditors to thoroughly examine the matter. As part of its efforts to address the issue, the company has also appointed Sivakumar Viswanathan as the new head of the Resource Management Group (RMG). Viswanathan, who has been with TCS since August 1993, will take over from ES Chakravarthy in this crucial role.
According to media reports, TCS launched an internal investigation following a whistleblower’s complaint about corruption at a high level within the company. The reports suggest that certain employees and staffing firms were involved in accepting bribes. In response, TCS has terminated the contracts of several top officials and banned eight subcontractors. However, the company emphasizes that this is not a reflection of any fraud within the organization.
TCS states that the issue primarily stems from a breach of its code of conduct by specific employees and vendors providing contractors. The company asserts that no financial impact has been incurred and refutes any notion of an alleged scam. We probed the allegations made in the complaint and found out that the charges do not involve any fraud by or against the company, and financial impact. The reference to the alleged scam is incorrect, TCS clarified.
While these allegations have created ripples in the industry, TCS remains committed to its ethical principles and aims to address the issue transparently. By appointing a new hiring head and conducting an internal investigation, the company is taking concrete steps to rectify the situation and ensure the highest standards of integrity in its recruitment process.
As the investigation unfolds, TCS hopes to restore stakeholders’ faith in its commitment to ethical practices. The company’s prompt response demonstrates its determination to tackle the issue head-on and reinforce its reputation as a trusted leader in the software services industry.
