Tata Consultancy Services will book a one-time charge of $70m after the US Supreme Court declined to hear its appeal in a trade-secrets dispute, the Indian IT giant said. The court’s refusal, issued on 15 June, closes the last legal avenue in a case that has run since 2019 and leaves the lower-court judgment standing.
The dispute is with DXC Technology, and it is worth being precise about that, because TCS has fought more than one US trade-secrets case and the two are easily confused.
This one stems from a 2019 lawsuit filed by a DXC predecessor, Computer Sciences Corporation, which accused TCS of using inside access to build a rival life-insurance platform. By declining the appeal, the Supreme Court let a damages award against TCS stand.
The accounting follows from the legal defeat. TCS said total exposure in the case now rises to about $220m, covering damages, interest, and costs.
Having already set aside $150m, it will book the remaining $70m as a one-time exceptional charge in the first quarter of its financial year 2027. The hit is real but bounded; for a company of TCS’s size, it is a quarter’s blemish rather than a structural problem.
