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The new Satyam board has made it clear that it is not interested in a government bailout for the IT company

New Delhi: The new Satyam Computers Services Ltd board has made it clear that it is not interested in a government bailout for the IT company.

Speaking exclusively to Network18, Kiran Karnik, one of the members of the reconstituted Satyam board, said that a government grant, subsidy or bailout is not in the best interest of the company.

“I don’t think we need any Government grant or bailout package. If a bank gives money we are comfortable. We will be happy to get money from wherever but this (Satyam Computers Services Ltd) is a very bankable proposition from the balance sheet and account statements,” said Karnik, who is a former Nasscom president.

Karnik admitted that the IT giant is short of cash reserves and there is an immediate need to get some money to ensure the smooth functioning of Satyam.

“Problem just now is that there is no money. There is no c in the company. The immediate need is how you get cash into the company to see through this difficult period? Money must be provided in the form of loan or whatever form, but not as a grant or subsidy. If it comes as a loan (then) the company is capable of repaying it from its own business,” Karnik said.

Source: IBNlive