Kraft’s takeover of Cadbury sparks Indian Tax Evasion Row
Kraft’s takeover of Cadbury sparks Indian Tax Evasion Row
The New York Times is today reporting that Indian officials are investigating whether Kraft Foods evaded taxes in its $19 billion takeover of Cadbury last year.
It seems the basis of the claim is that Kraft avoided paying tax on the Indian part of its assets.
Cadbury’s access to Indian markets was a major attraction to Kraft when bought Cadbury (The largest confectionary company in India)
Kraft denied any knowledge of the law suit
“If you are getting something from India,” Mr. Kanth ( who instigated the suit) added, “you should be paying back in to India.”
The Indian government has a multitrillion-rupee budget deficit, he noted. Public interest lawsuits in India are often used to protect the rights of the poor and working class.
For the full report and an interesting discussion see http://nyti.ms/dGS29W
We say it is a shame to see this once proud Quaker firm becoming embroiled in this sort of incident
