The UK’s Opposition, Labour Party, has alleged that Indian IT giant, Infosys, was given “VIP access” and was promised assistance for its expansion in the country, due to Prime Minister Rishi Sunak’s familial connection with founder Narayana Murthy. The Labour Party has said that it has uncovered “damning” documents.
According to a report in the Mirror, trade minister Lord Johnson who visited India last year, said that he was keen to see a bigger presence of Infosys in the country and was happy to do whatever he could to facilitate that. Infosys is now vying for contracts in the UK amounting to 750 million pounds.
The report by the news site was based on the Freedom of Information laws, used to access details of the meeting between Lord Johnson and Infosys. The Labour Party criticised the “VIP access” given to a business so personally close to the Prime Minister. Sunak’s wife Akshata Murty has shares in Infosys, co-founded by her father Narayana Murthy.
Lord Johnson also reportedly gave information to Infosys on how to obtain UK visas for its staff, and reassured them on the prospects of the UK economy. The Mirror had earlier reported that Infosys was put on an approved list of suppliers for public sector contracts worth more than 750 million pounds.
Lord Johnson’s officials reportedly stated that despite Brexit, Infosys wanted to further boost its UK business of 1.8 billion pounds a year.
The India meeting in April last year also included discussion on the free trade agreement (FTA) between India and the UK and how it would benefit Infosys. One of the briefing notes said that the FTA will create new opportunities and investor friendly policies to support business growth.
Liberal Democrats’ deputy leader Daisy Cooper said that the UK government “seems intent on wrecking the public’s trust in politics”.
Lord Johnson had visited Infosys’ headquarters in Bengaluru. In his brief, he was told that Infosys was a Tier 1 investor and that he needed to “acknowledge their commitment to the UK and engagement with senior UK visitors”, the report stated. The document further stated that despite Brexit, Infosys has not stalled their UK growth plans and it would be good to reassure them on the prospects of the UK economy.
A Department for Business and Trade spokesman responded that the minister regularly meets businesses and international investors, including Indian businesses, to champion the UK as an investment destination. These engagements bring in investments and create thousands of jobs, hence boosting the economy.
Sunak’s wife Akshata Murty owns shares worth 624 million pounds in Infosys. The family owns 2.4 billion pounds worth of shares in the company.