Airtel snaps call center agreement with Karvy

Bharti Airtel (Airtel) has terminated the Call Center Master Services Agreement with Karvy Data Management Services Limited due to breach of provisions of GST Law and terms of agreement.

The decision comes after Airtel sent many notices, the latest being May 21, through email — setting out several defaults of serious nature on part of Karvy and calling upon Karvy to rectify all the defaults and submit compliance thereof with documentary proof — within a period of seven days from the date of issue of the said notice.

Airtel alleged that Karvy has failed to deposit the taxes with the government as per law, including the taxes collected from Airtel, which divests Airtel of its right to claim the Input Tax Credit in respect thereof.