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HCL Infosystems Secures ₹102.81 Crore Arbitral Award Against UIDAI; Tribunal Dismisses UIDAI’s Counterclaims

HCL Infosystems Secures ₹102.81 Crore Arbitral Award Against UIDAI; Tribunal Dismisses UIDAI’s Counterclaims

Pranav B Prem


HCL Infosystems Limited, a part of the HCL Group, has received an arbitral award worth ₹102.81 crore in its favour against the Unique Identification Authority of India (UIDAI) in a dispute arising from managed service provider (MSP) services rendered during the extended contract period.

 

In a disclosure to the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) on October 5, 2025, the company stated that the award includes dues, deductions, and additional costs for services provided to UIDAI between August 7, 2019, and August 6, 2021. The award also carries an interest of 10% per annum up to the date of the award and an equivalent rate of interest until full realization.

 

Counterclaims by UIDAI Dismissed

The arbitral tribunal dismissed UIDAI’s counterclaims of ₹72.71 crore filed against HCL Infosystems. The dispute stemmed from certain deductions and recoveries made by UIDAI under the managed service provider contract during the extended period of engagement.

 

Also Read: NCLT Bengaluru: Unremitted Pre-Liquidation TDS Held In Trust For Government, Excluded From Liquidation Estate

 

HCL Infosystems had invoked arbitration proceedings seeking recovery of its dues under the contract. The tribunal, after hearing both sides, ruled in favour of HCL Infosystems, awarding compensation and interest for the amounts withheld or deducted during the course of the engagement.

 

Regulatory Disclosure

The company made the disclosure pursuant to Regulation 30 and Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and in compliance with SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023.

The disclosure, signed by Twinkle Monga, Company Secretary and Compliance Officer of HCL Infosystems, confirmed that both parties retain the right to challenge the arbitral award before an appropriate court as per the Arbitration and Conciliation Act, 1996.

 

With the arbitral tribunal rejecting UIDAI’s counterclaims and awarding ₹102.81 crore along with continuing interest in favour of HCL Infosystems, the company stands to recover substantial dues pending from the MSP project executed for UIDAI. However, enforcement of the award will depend on whether UIDAI exercises its right to challenge the decision before a competent court.

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