After bankruptcy of leading financial institutions of United States, its now turn of Nortel Networks Corp. to file bankruptcy following the adverse impact of global financial crisis on its business.

Nortel Networks Corp is a leading telephone equipment manufacturer in US, which is facing tough liquidity conditions under the impact of global financial crisis.

The development would hit some large Indian companies such as Tata Consultancy Services (TCS), Wipro, Infosys and Sasken Communication Technologies due to their significant exposure in Nortel. Its other clients such as Reliance Infocomm, Bharat Sanchar Nigam, Bharti Airtel and GAIL (India) would also bear the heat of recent development.

However, Indian companies ruled out any significant impact of their business.

CFO of Wipro Technologies, Manish Dugar said that Nortel accounts for less than 1.5 per cent of the information technology business revenue of Wipro.

He said, "Wipro is also a partner to Nortel for system integration work in Asia and India, and we expect no impact to our clients."

Chief Financial Officer V. Balakrishnan, however, ruled out any impact of Nortel bankruptcy on the business of company.