French technology firm Capgemini announced plans to sell its US subsidiary following concerns over the company’s involvement with the US Immigration and Customs Enforcement (ICE). The subsidiary holds a contract with ICE, an agency that has faced significant public criticism.
Capgemini stated that legal restrictions limited its ability to oversee the subsidiary’s activities, prompting the decision to divest. The company emphasized that this move was necessary due to the lack of control over the subsidiary’s operations.
**Why this matters**
The sale highlights the challenges multinational corporations face in managing subsidiaries under different legal frameworks. It also reflects growing scrutiny over business relationships with controversial government agencies, particularly those involved in immigration enforcement.
Source: NewsData