Bribes-For-Jobs Scam Unearthed At TCS, Four Employees Sacked On Graft Charges: Report

TCS employees involved in the scam may have earned at least Rs 100 crore through commissions, the report said

TCS sent its head of recruitment on leave and sacked four officials from resource management group.

Source : Getty

Tata Consultancy Services has issued a firm denial of reports suggesting that its hiring process was compromised, stating that an internal inquiry found no “fraud by or against the company.” The clarification comes after a report by Mint claimed that a bribes-for-jobs operation involving senior executives and external staffing firms had been running for years.

How the Allegations Emerged

The controversy gained traction after Mint reported that a few senior officials at TCS were allegedly accepting bribes from staffing agencies to favour certain candidates. According to that report, four employees from the company’s resource management group were removed from their roles, and three staffing agencies were barred from further engagement.

The whistleblower’s complaint, as cited by the report, also claimed that the global head of the resource management group had accepted commissions from vendors over an extended period. The report further quoted an executive who suggested the alleged “scandal” could be worth around Rs 100 crore.

TCS Says RMG Not Involved

Responding to the claims, TCS filed a detailed clarification explaining the organisational structure involved in hiring. The company said, "The recruitment activities in TCS are not handled by the Resource Management Group (RMG) as alleged, therefore the reference to alleged scam in recruitment process is incorrect. RMG is responsible for allocation of available resources to various projects and incase of any shortfall, fill such requirements through contractors. The complaint referred to in the article relates to hiring of such contract resources employed by the contractors."

The company added that it acted immediately after receiving the complaint. It stated, "On receipt of the complaint, the Company launched a review to examine the allegations in the complaint. Based on the review: (i) this does not involve any fraud by or against the Company and no financial impact; (ii) the issue relates to breach of Company’s Code of Conduct by certain employees and vendors providing contractors; and (iii) no key managerial person of the Company has been found to be involved."