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Lehman owes $5.5 mn to Indian IT cos

September 23rd, 2008

CHENNAI: Bankrupt financial giant Lehman Brothers Holdings, which is selling off its North American businesses and operating assets to Barclays Capital, owes around $5.5 million to as many as eight Indian companies such as Wipro, TCS, eClerx and Polaris.

This information came out after the troubled investment bank filed documents with the United States Bankruptcy Court (Southern District of New York) recently.

Lehman Brothers and the entities controlled by them owe around $2.3 million to Wipro, $1.39 million to TCS, $0.56 million to data analytics provider eClerx Services, according to available data. Other companies include Polaris ($0.51 million), L&T Infotech ($0.3 million), Satyam ($0.25 million), HCL Tech and Cognizant.

It also owes money to Tata Communications’ US subsidiary VSNL America. The exact quantum of amount with respect to the Tata company could not be ascertained, but sources indicate that Barclays may not assume the amounts owed by Lehman entities to VSNL America.

A Wipro spokesperson declined to comment citing upcoming quarterly results while a mail sent to TCS was unanswered. eClerx in a statement to Bombay Stock Exchange on Monday said that outstanding receivables from Lehman amounted to nearly $1 mn and that it earned 13 per cent of accrued FY09 revenues from this client.

With Judge James Peck approving the sale of Lehman’s North American operations to Barclays recently, it is likely that the latter will pay the outstanding amounts to most of the Indian companies. But new appeals already filed by some hedge funds and other creditors may complicate and stretch the pay-back time, until the deal is executed, it is learnt.
Source:TOI

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