The Hindu Business Line : HMA Data clarifies on bank guarantees to ACI, SSI

HMA Data Systems has said that it furnished bank guarantees to the Madras High Court in two cases filed against it only to ensure that a business deal with eFunds International Pvt Ltd went through.

The company agreed to furnish the bank guarantees after the plaintiffs said they would not insist on the injunction against HMA selling a subsidiary, India Switch Company Pvt Ltd, to eFunds, according to HMA officials.

Mr Harish K. Murthi, Managing Director, HMA Data Systems Pvt Ltd, and Mr D. Balaji Chandran, Chief Financial Officer, HMA group, said that the company's decision to furnish bank guarantees to the Court were without prejudice to the cases and its right to contest them.

HMA furnished a bank guarantee for Rs 5 crore in a case filed against it by ACI (India) Inc, a software provider, and for Rs 4.36 crore in another case filed by SSI Ltd. Both these companies sought to prevent HMA from selling its stake in India Switch Company Pvt Ltd.

ACI had provided software for the automated teller machine network operated by HMA and the case pertained to non-fulfilment of contractual obligations. SSI had signed a letter of intent in April 2000 to buy an 80 per cent stake in India Switch Company and it had filed a case seeking refund of Rs 4.36 crore it had paid HMA as earnest money deposit.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Intransa plans to invest $2 m here

`BPO clients more wary of info security leaks' — Forrester study sees impact on growth

HMA Data clarifies on bank guarantees to ACI, SSI

Seagate unveils 10 hard disc drives

Oracle eyes mid-market space

Satyam bags Bausch & Lomb deal

Ram Info plans Bangalore, Vizag centres

Codelinks details $3-m expansion

Centurion ties up with Misys for banking tools

BEA to double R&D team

Infinite sets up Malaysian arm

Snags in system delaying tea e-auctions