New York, Nov 22: A USD 15.2 million contract between a subsidiary of India-based Tata Consultancy Services and an American state agency has been cancelled, falling victim to politics in view of elections in the US next year.
Indiana state's governor Joe Kernan, a democratic candidate for elections due in November next year, has ordered the State Department of workforce to Cancle its contract with Tata America International Corp, a subsidiary of Tata Consultancy Services (TCS), to upgrade state computers processing unemployment claims.
Kernan said yesterday that the agency's request for competitive proposals had been put together and advertised in a way that "virtually knocked Indiana companies out of the running," 'Indianapolis Star' reported.
A spokeswoman for TCS was quoted as saying that "this is a decision for the state of Indiana to make, and TCS will comply”.
No Indiana firms had submitted bids for the contract, ‘The Star’said. "That is not the way I choose to do business," it quoted Kernan as saying. Bureau Report