Wednesday, December 15, 2010

SC ALLOWS PROSECUTION OF MOTOROLA IN INVESTMENT CASE

The Supreme Court has set aside the Bombay high court judgment and allowed the prosecution of a
criminal complaint filed by Iridium India Telecom Ltd. against Motorola Incorporated. According to the complaint, Motorola induced Iridium India and several others to invest in a project which turned out to be a technological disaster. They collectively invested $70 million for purchasing equity in a subsidiary company as well as spent a sum of about Rs. 150 crore in setting up a gateway at Delhi in Pune. The complaint stated that the representations made by Motorola proved to be fraudulent and deceitful.

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