Nokia today said it is disappointed by decision of the Supreme Court which refused to lift the restraint on sale of its Indian assets, including the Chennai plant, as part of the handset maker’s global deal with the Microsoft. In a statement, the company said that “Nokia will now consider its next steps. It will not comment further at this point.”
“Nokia is disappointed by today’s decision. The company strongly believes its offer to the Indian tax department is fair for all sides, allowing its employees and assets to transfer to Microsoft while also providing the necessary financial guarantees,” the company said.
Earlier today, the apex court has dismissed Nokia’s plea against the Delhi High Court order directing its parent company in Finland to give an undertaking to fulfil the conditions relating to payment of tax dues.
The apex court’s decision not to interfere with the High Court order assumes importance as it would put hurdles on Nokia to transfer its Chennai plant which is a part of the $7.2 billion global deal with Microsoft.
Noting that the decision means that the case now reverts to the February 5 Delhi High Court ruling on the asset transfer, the company said that it “regrets the anxiety this extended legal process has caused its employees”.
The apex court had earlier asked the Nokia India Pvt Ltd to come up with a concrete proposal to settle its tax row with the income tax department.