Madras HC stays I-T notice to liquidate Rs 2,956-cr security of Cognizant

CHENNAI: A division bench of Madras High Court consisting of Justices R Mahadevan and Mohammed Shaffiq has granted an interim stay against the Income Tax department’s notice to liquidate Rs 2,956 crore security furnished by Cognizant Technology Solutions India Limited.

The order was passed on a petition filed by the company seeking stay on an order of the Income Tax Appellate Tribunal (ITAT) rejecting its petition against order of demand of tax and notice for liquidation.
Even though the interim stay was granted, the company was ordered to deposit Rs 1,500 crore to the credit of I-T department.