Postal Department blacklists HCL and its subsidiary companies for five years

Will getting blacklisted from Department of Posts affect HCL business?

Will getting blacklisted from Department of Posts affect HCL business?
Will getting blacklisted from Department of Posts affect HCL business?

[dropcap color=”#008040″ boxed=”yes” boxed_radius=”8px” class=”” id=””]I[/dropcap]ndia’s premier computer company HCL Infosystems Ltd and its all subsidiary companies are blacklisted by Postal Department for five years. Tamil Nadu based Shiv Nadar owned HCL had emerged as biggest supplier of computers and other electronic accessories to Postal Department when Dayanidhi Maran and Raja ruled the organisation during terms of the United Progressive Alliance (UPA). HCL earned thousands of crores of rupees contracts from the Postal Department when it started modernisation of its post offices across the country.

How did a blacklisting order against a big infotech company not come out in the public domain?

It is interesting to note that the blacklisting order issued in December 2014 by the National Democratic Alliance (NDA) government did not get publicized. Apart from a story in titled Blacklisting of M/s HCL Infosystems Limited and its subsidiaries there was almost no mention of this in the mainstream media. Is it due to the company’s clout in the bureaucracy and media that this did not get wider coverage? As the company is a listed one in various stock exchanges, this should have been alerted as its contracts with Postal Department come to several thousands of crores from 2005. A copy of the blacklisting order is published at the end of this article.

Every circular, even some recent ones issued by the Postal Headquarters – accessed by PGurus – to all regional offices on purchasing and tender procedures, specifically remind to avoid accepting any tender from HCL Infosystems or its subsidiaries citing this blacklisting notification.

“The undersigned (Director – PMU) has been directed to inform that M/s HCL Infosystems Ltd, the successful bidder for the MOH RFP, and its subsidiary companies have been blacklisted by the Department vide its letter dated 25-11-2014… As per this order, M/s HCL Infosystems Limited and its subsidiary companies shall stand blacklisted by the Department of Posts and shall not be permitted to participate in any bid process with the Department of Posts and are banned from engaging in any form of commercial arrangement with the Department of Posts, for a period of 05 years with effect from 25the November 2014,” said the blacklisting order (No: 19-5/2014-PMU) dated December 2, 2014.

How did a blacklisting order against a big infotech company not come out in the public domain? Does HCL not owe it to its shareholders to reveal this information?

Did the Postal Department alert Central Vigilance Commission about blacklisting of HCL? Can HCL continue to sell into other departments? Or will there be a fallout? Only time will tell.

1. Text in Blue points to additional data on the topic.

HCL Black List 04122014 Pub Upload

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  1. Not informing Stock exchanges of material information is an offfence. Have they adopted any mask of Corporate veil, to shield HCL TECH’s name? Pl. probe and if possible take SEBI to task. FM, the Media Darling, is ignorant of this? PL. follow this up. Satyam case also erupted, after blacklisting by UN agency or something akin to it. MSM is characterless not to publicise, this.

  2. Having worked in this company for over 2 decades, I’ve no doubt on the black listing by postal department. HCL group of companies have thrived on unscrupulous business. The proximity to congress was so overwhelming that the raid by various department (ITAX/ED) have never got covered in any MSM. This goes back to history when the photocopiers were smuggled & were caught in the cost of odisha, how many newspaper have covered then?? This (DoP blacklisting) for sure is tip of iceberg, the mentioned department of (King of Corrupt DMK Marans/Raja — BSNL) if one digs would find more murk. The rot in BSNL including & not limiting to NIB2/CDR would be interesting for someone to study.

  3. In my opinion SEBI has been a total failure.
    The small investor whom the Govt used to promote earlier has been given SHORT SHRIFT.
    HCL will be fined and the affair forgotten. Who will fine SEBI’s personnel or demand the resignation of those who failed in their duties?


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