Indiana pays Tatas for scrapped BPO deal

By siliconindia staff writer   |   Saturday, 26 June 2004, 07:00 Hrs
Printer Print Email Email
WASHINGTON: The US state of Indiana has paid nearly $1 million to Tata America International Corporation, a subsidiary of Tata India, for an outsourcing contract which it had scrapped prematurely last year.

The engineering giant was paid this whopping amount by the Indiana government after it cancelled the $15.2 million outsourcing contract, which had snowballed into a major election issue in the state, last November.

Indiana government had hired the American arm of Tatas to upgrade the state computer system processing unemployment claims. But the deal was scrapped by the new government headed by Joe Kernan, which had made the contract a campaign issue, the Indiana Star reported.

The company had sought $1.74 million for six weeks of work and were paid for training 45 state programmers in development and engineering of up-to-date software systems; for designing software plans and requirements and for legal fees, costs related to cancelling a letter of credit and ending a building lease, according to state officials.




SPOTLIGHT
IBM announces programme
n a bid to recognise the contribution of developers in the open source community, Information ..
Wipro opens third industrial
IT major Wipro Ltd on Thursday opened its centre of excellence for Industrial Internet of Things (..
Google's Gboard gets offline
Google is adding an Artificially Intelligent (AI) offline dictation feature on its Gboard keyb..
Facebook denies cyber attack
Facebook ruled out a cyber attack on its products Whatsapp, Instagram and Messenger, which suf..