Feeds

Indian supremes demand $573m in Nokia-Microsoft phactory selloff deal

Long-drawn-out tax battle may finally be Finnished

Build a business case: developing custom apps

India's Supreme Court has ordered Nokia to hand over a $572.5m guarantee before it can give the keys of one of its biggest manufacturing facilities to Microsoft.

The order stems from a tax dispute over the plant in Chennai and upholds the verdict of the Delhi High Court, Reuters reported.

The Finnish firm originally offered to put Rs22.5 billion ($369m) in an escrow account while it fights the claims of the Indian tax authority in court, but the court told it to fork over a further Rs35 billion, which Nokia said will stop it from being able to fight the tax claims.

Nokia is trying to sell its mobile phones business to Microsoft for $7.5bn and is expecting the deal to close by the end of this month. The plant is one of the firm's largest phone-making factories and the company said it can only run it as a contractor to Microsoft for so long.

Indian authorities demanded around Rs20.8 billion ($339m) in taxes from Nokia this time last year, which could grow to a total of Rs210 billion ($3.43bn) with added liability, interest and penalties. ®

Build a business case: developing custom apps

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Nintend-OH NO! Sorry, Mario – your profits are in another castle
Red-hatted mascot, red-colored logo, red-stained finance books
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.