Nokia Reply About India Tax Issue Equals Short Squeeze
I received the below reply about the purported India Tax Evasion issue. This is the same reply given to another poster. So, one can assume, that Nokia is giving the same reply to ALL investors who ask--including large institutional types. Nokia is basically calling BS on the evasion reports. Should set up for an interesting day. I'll note, NOK is already trading up 2% in Europe...
"Thanks for writing in. I appreciate your concern.
To update you on the situation, we yesterday issued a statement, locally in India, as follows:
“Nokia is fully cooperating with the Indian Tax authorities. We are duly responding to all queries raised by them and extending our full support in completing the investigation. Nokia’s commitment to being a good corporate citizen is firm and unwavering. We always observe applicable laws and rulings in the countries where we operate. Since we arrived in India 17 years ago, we have honored all local laws and paid all taxes legally due. We look forward to resolving this issue quickly and fairly with the support of the Indian government.”
It is worth keeping in mind that as of yet, we have not received any formal claims or formal notice from the authorities, nor has a single official gone on the record publicly in the media with any specific claims (although there have been plenty of “anonymous sources” speaking to media and spreading false rumors). When it is appropriate to take further steps in our communication, I can assure that we will do so and are ready to do so.
For now, however, I can only emphasize that we have paid all taxes legally due. This is absolutely the case and therefore we look forward to resolving this matter swiftly.
Big thumbs up for confidence boosting (to LONGs !) groundwork.
I put up a link to Register's article referencing Economic Times' original article delving into the tax issue, but indeed, nothing is official. It is reassuring the statements from Nokia quoted here.