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Landmark ruling in favor of Cisco after its two Indian-American engineers were accused of caste bias

A nominal $2,000 was awarded to Cisco Systems in sanctions against the California Civil Rights Department.

Sundar Iyer and Ramana Kompella. / IIT Bombay and Purdue University

In a significant ruling, a court has imposed penalties on the California Civil Rights Department (CRD) following a notable caste discrimination lawsuit filed against Cisco Systems on behalf of a "Dalit" employee. 

The lawsuit, which drew widespread scrutiny and criticism toward Indian-American managers Sundar Iyer and Ramana Kompella, concluded with a verdict that sanctioned the CRD, awarding Cisco Systems a nominal $2000. Although the penalty may appear modest, the verdict signifies a substantial victory for both Silicon Valley corporations and Hindu American civil rights.

The CRD, previously known as the Department of Fair Employment and Housing (DFEH), faced allegations of unfairly singling out Iyer and Kompella, accusing them of perpetrating caste discrimination. However, evidence of prosecutorial misconduct and fabrications by the CRD was exposed by a whistleblower website, revealing the shortcomings in the case, said a press release by CasteFiles – an educational platform that challenges false caste and race narratives in media.

The May 2024 verdict highlighted the CRD's overstepping, sending a clear message about the risks of prosecutorial abuse. This ruling holds particular importance given the challenging business landscape in Silicon Valley, where companies like Riot Games and Tesla have encountered significant financial penalties due to discrimination allegations. The CRD, often criticized for its aggressive pursuit of settlements and reluctance to engage in mediation, has been labeled a "Bounty Hunter" by the Cal Policy Center.



Richa Gautam, founder of CasteFiles, emphasized the broader implications of this verdict. She highlighted how the flawed Cisco case had been used to tarnish an entire community.

In April 2023, charges against Iyer and Kompella were dismissed, and the ruling was celebrated by the Indian American community in Silicon Valley. However, despite this, the CRD persisted in pursuing the case against Cisco Systems, a decision that many viewed as a sign of a weak case, CasteFiles said in a statement. But the subsequent motion for sanctions against the CRD, leading to the $2000 penalty in May 2024, has underscored the agency's missteps.

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