Supreme Court dismisses Nokia plea for permission to sell its Indian assets

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Supreme Court dismisses Nokia plea for permission to sell its Indian assets


SUMMARY

Supreme Court had asked Nokia to come up with concrete proposal to settle its tax row with IT dept.



Supreme Court had earlier asked Nokia to come up with a concrete proposal to settle its tax row with the IT dept.



Nokia today suffered a jolt when the Supreme Court 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.

The apex court 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 USD 7.2 billion global deal with Microsoft.

A bench, comprising justices A R Dave and Shiva Kirti Singh, declined to accept Nokia's plea for a direction to the Income Tax department for lifting of the stay on transfer of assets, including the Chennai manufacturing plant, in view of the deal with Microsoft.

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.



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