Wipro has filed a Rs 25.05 Crore lawsuit against ex-CFO Jatin Dalal, alleging a breach of the non-compete clause in his employment contract.

Wipro has filed a lawsuit against its former Chief Financial Officer (CFO), Jatin Dalal, alleging a breach of the non-compete clause in his employment contract. The clause stipulates that Dalal should not join any rival company within 12 months of his resignation. Wipro is seeking damages of Rs 25.15 crore from Dalal, along with 18 percent interest per annum until the payment date.

The lawsuit, filed in the Bengaluru civil court on November 28, claims that Dalal joined Cognizant as CFO, violating the non-compete clause. Wipro notified the exchanges of Dalal's resignation in September, and he officially joined Cognizant on November 30.

The lawsuit specifies that Wipro is entitled to compensation equivalent to the gross remuneration earned by Dalal during the last 12 months of service or the total number of Restricted Stock Units (RSU) granted multiplied by the share price prevailing on the date of the award. The claimed amount is Rs 25,15,52,875, along with 18 percent interest per annum.

In response, Dalal has requested the court to refer the matter to arbitration. The court has scheduled the next hearing for January 3, during which both parties will present their arguments.

Dalal, a Wipro veteran of over 21 years, served as the CFO since 2015. In his new role at Cognizant, he is set to take over from Jan Siegmund, with responsibilities including overseeing various global financial functions.

Wipro's move could potentially impact Dalal's position at Cognizant, and this legal battle comes amidst several top-level exits at Wipro in 2023. The company has also filed a complaint against another former senior executive, accusing him of breaching a non-compete clause by joining Cognizant.