New Delhi: The government on Friday disbanded the Board of scam-hit Satyam for “failing to do what they were supposed to” and would soon appoint 10 new directors, who would hold its first meeting within a week.
The decision was taken after the Company Law Board gave permission to the Government on its interim prayers, Corporate [...]
Satyam’s Raju brothers arrested; 5 IPC sections slapped
Both brothers are arrested under non-bailable sections of the Indian Penal Code; government boots out current Satyam board members, to appoint independent directors within a week.
The 54-year-old Raju, who stepped down as chairman after admitting to the fraud Wednesday, and Rama Raju, who resigned as CEO and MD [...]
HYDERABAD: In the first half of September, Srinivas Vadlamani suddenly offloaded 92,358 shares of Satyam on the stock market. When quizzed he
said that he needed the money because he was building a house and could not manage without liquidating his ESOP holdings.
That answer had satisfied curious newshounds, but with the benefit of hindsight now it [...]
NEW DELHI: The skeletons just won’t stop tumbling out of Satyam’s cupboard. It now turns out that B Ramalinga Raju and his associates may have spirited away bank statements of the company that hold clues to the massive fraud perpetrated by them.
The Hyderabad office of Registrar of Companies did not find the statements at any [...]
“It is with deep regret, and tremendous burden that I am carrying on my conscience, that I would like to bring the following facts to your notice.”
Thus begins, in calm but painful fashion, one of the most extraordinary corporate confessions ever written, a letter sent Wednesday from B. Ramalinga Raju, the founder and chairman of [...]
Just like Raju family pledged shares of Satyam Computer Services, it has also given stocks and real estate assets of Maytas Infrastructure as collateral to various financial institutions to raise funds.
According to sources, the family has pledged majority of its shareholding and real estate assets to various institutions. Two institutions, Maharashtra government’s financial arm,Sicom, and [...]
The chairman of Satyam Computer Services was arrested on Friday on charges of cheating and forgery, and the government dissolved the outsourcer’s board as authorities moved to limit fallout from India’s biggest corporate scandal.
Chairman Ramalinga Raju, who resigned on Wednesday after revealing years of accounting fraud, was expected to appear before the market regulator on [...]
Satyam Computer Services Ltd., whose shares in Mumbai plunged to record lows after its chairman said he falsified accounts, was sued by U.S. investors in at least two class actions in federal court in New York.
Hossein Momenzadeh, who bought 75 shares of the Indian software company’s American depositary receipts in July 2007 at $26.50 each, [...]
New Delhi KPMG, which audits the accounts of IT majors like Infosys and Wipro, doubted the veracity of the confessional letter written by B Ramalinga Raju, the founder-chairman of Satyam Computer, saying the financial bungling cannot be done only by the head of the Hyderabad-based firm.
“It defies logic, one is not sure whether there [...]
Beleaguered Satyam management, struggling to set its house in order, is facing a major challenge to fight rumours and disinformation particularly relating to employees and their salaries.
The day started with a ‘rumour’ by some Satyam employees that there was an internal e-mail that talks about layoffs and uncertainty about salaries over the next two months, [...]
Srinivas Vadlamani, CFO of Satyam, who is thought to be involved in one of the major IT company’s scam, has attempted a suicide in a house in Ameerpet near Hyderabad.
Significantly, in Raju’s letter to Securities and Exchange Board of India (SEBI) and the company’s board of directors, the name of CFO is missing from the [...]
A team from India’s capital markets regulator will meet Satyam Computer Services Ltd. founder Ramalinga Raju on Saturday, and the government moved to take over the company’s board, as the official response to this week’s stunning allegations of fraud at the beleaguered outsourcer built up steam.
The Securities and Exchange Board of India and the Registrar [...]
India sacked Satyam Computer Services Ltd.’s board and started investigating auditor PricewaterhouseCoopers LLC, two days after the software maker’s founder claimed he’d fabricated $1 billion in assets.
Ten directors nominated by the government will meet in the next week to appoint managers at Hyderabad-based Satyam, Corporate Affairs Minister Prem Chand Gupta said. Officials have seized documents [...]
A Securities and Exchange Board of India (SEBI) team probing a financial fraud in Satyam [Get Quote] Computer on Friday reached founder Ramaling Raju’s house here, but returned as the premises was locked.
Sources said the team, was also expected to go to Satyam headquarters again, and a notice has been issued from SEBI’s Mumbai office [...]
Satyam Computer on Friday announced holding back employees salaries for two months, even as rumours were rife that the company might lay off close to 15,000 workers in the coming days.
The offices of Satyam Computer were rife on Friday with the talks about forthcoming pink-slips at the company, which needs over Rs 500 crore (Rs [...]
After confessing to irregularities and fraud in the company accounts, the chairman of the company Ramalinga Raju has gone into hiding. It is not known if he is still in Hyderabad or if he has gone abroad.
Even the acting CEO Ram Mynapati has no idea of the whereabouts of Raju. But Ram said that he [...]
Much has been written about Ramalinga Raju’s stunning revelations in his resignation letter. After weeks of denying any wrong-doing, including asking the World Bank to tender an apology for its comments, Raju finally admitted to financial irregularities.
Raju should have figured long ago that no firm would [...]
HYDERABAD: Raju, who has been untraceable since his sent in his resignation on Wednesday, is believed to be at his farmhouse at Kompally on the outskirts of Hyderabad.
While there was no confirmation from police regarding his whereabouts, police officers said they had no orders yet to arrest him.
Sebi has summoned Raju at his corporate office [...]
India is rarely as shiny as its fans insist. The $1bn fraud perpetrated by Satyam Computer Services will not only throw the $40bn software and outsourcing industry into a tailspin, it will also raise disturbing questions about the risks of doing business in India - and even the sustainability of the country’s much-vaunted growth miracle.
Only [...]
What action can be taken against Raju and other board members, the auditors and the bankers for having failed in their basic duties?
It’s not a failure, but purposeful cheating. Thereby, it is a criminal breach of trust, which can attract punishment under the Indian Penal Code (IPC).
From the information available in the public domain, [...]
Andhra Pradesh Chief Minister Y S Rajasekhara Reddy on Friday said the CB-CID is independently probing the financial fraud in Satyam Computer, as it appeared likely that its founder Ramalinga Raju would be arrested.The CB-CID has been asked to probe the fraud disclosed by Satyam founder Ramalinga Raju and they are looking into the [...]
Two days after the startling disclosure of a massive corporate fraud at Satyam Computer, the Hyderabad police are likely to swing into action on Friday and arrest Ramalinga Raju, who has resigned as the chairman of the company.
The action by the law enforcement authorities in Hyderabad is likely to be suo motu as it has [...]
NEW DELHI: A team of government officials investigating the Rs 7,800-crore Satyam fraud seized the documents from the premises of the company and its record office in Hyderabad.
“The procedure of seizure was on since five in the morning,” corporate affairs minister Prem Chand Gupta told reporters today.
The government, he said, has also rushed an eight-member [...]
HYDERABAD: A day after the Rs. 7,100-crore fraud surfaced in Satyam Computers, special teams of the Securities and Exchange Board of India (SEBI) and the Registrar of Companies (RoC) began investigations at the company’s offices here on Thursday.
Armed with an order from an economic offences court, RoC and SEBI officials searched Satyam’s registered office at [...]
“We have to go beyond this letter and find out what actually has happened,” the Securities and Exchange Board of India told reporters.
“This is an issue which has very serious implications… It also raises the issue of authenticity of accounts that have been audited and certified by the auditors.”
Hitesh Agrawal, head of research with Angel [...]
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