MUMBAI, Aug 17 (Reuters) - Indian software services firm Mahindra Satyam said it had won a New York court ruling to withhold taxes from a $70 million settlement payment to Britain-based Upaid Systems Ltd.
The Supreme Court of New York denied a motion brought by Upaid that it was entitled to receive the full amount, and ruled it must co-operate with the escrow agent, IDBI Bank, to allow Mahindra Satyam to hold back any applicable taxes, the Indian company said in a notice to the stock exchange.
Mahindra Satyam, formerly Satyam Computer Services, had agreed last December to pay $70 million to Upaid in a patent suit settlement.
In February, it had filed the lawsuit in New York against Upaid, which facilitates payments via mobile phones, seeking to declare the settlement pact between the companies valid and enforceable.
(Reporting by Janaki Krishnan; Editing by Ranjit Gangadharan)
((janaki.krishnan@thomsonreuters.com, +91-22 66369138; Reuters Messaging: janaki.krishnan.reuters.com@reuters.net)) Keywords: MAHINDRASATYAM/UPAID (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The Supreme Court of New York denied a motion brought by Upaid that it was entitled to receive the full amount, and ruled it must co-operate with the escrow agent, IDBI Bank, to allow Mahindra Satyam to hold back any applicable taxes, the Indian company said in a notice to the stock exchange.
Mahindra Satyam, formerly Satyam Computer Services, had agreed last December to pay $70 million to Upaid in a patent suit settlement.
In February, it had filed the lawsuit in New York against Upaid, which facilitates payments via mobile phones, seeking to declare the settlement pact between the companies valid and enforceable.
(Reporting by Janaki Krishnan; Editing by Ranjit Gangadharan)
((janaki.krishnan@thomsonreuters.com, +91-22 66369138; Reuters Messaging: janaki.krishnan.reuters.com@reuters.net)) Keywords: MAHINDRASATYAM/UPAID (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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