Satyam Scam info ............

devendra

devendra

Devendra Thuthgar
The biggest corporate scam in India has come from one of the most respected businessmen.
Satyam founder Byrraju Ramalinga Raju resigned as its chairman after admitting to cooking up the account books.

His efforts to fill the "fictitious assets with real ones" through Maytas acquisition failed, after which he decided to confess the crime.
With a fraud involving about Rs 8,000 crore (Rs 80 billion), Satyam is heading for more trouble in the days ahead.

On Wednesday, India's fourth largest IT company lost a staggering Rs 10,000 crore (Rs 100 billion) in market capitalisation as investors reacted sharply and dumped shares, pushing down the scrip by 78 per cent to Rs 39.95 on the Bombay Stock Exchange. The NYSE-listed firm could also face regulator action in the US.

"I am now prepared to subject myself to the laws of the land and face consequences thereof," Raju said in a letter to SEBI and the Board of Directors, while giving details of how the profits were inflated over the years and his failed attempts to "fill the fictitious assets with real ones."
Raju said the company's balance sheet as of September 30 carries "inflated (non-existent) cash and bank balances of Rs 5,040 crore (Rs 50.40 billion) as against Rs 5,361 crore (Rs 53.61 billion) reflected in the books."
 
hope no one will be able to commit such a fraud in future...

This crime was a confess, lookes like every1 was ignoring this..
hope now atleast authorties will wake up... i can a silver line on dark clouds:)
 
I think he is not the only one person responsible. If there is such fudging in the statements, there is not even a single possibility that the accounts and finance people have no idea of it.
And also the huge impact that its having on India's International image.
 
when his last resort failed, raju had to confess his scam- not a technical one but financial one..he chose to confess in front of the indian government coz had he been caught in america (after all his company is listed there), the punitive action would have been stricter, faster and fairer.. and he stated that he only misrepresented moneys.. not that he 'made' money.. is the government doing enough to make sure it puts a full stop on such scams.. is there no fear in the mind of such fraud...
 
so its not only that the scam is affected only satyam ... it has an overall affect .. as in on the sector .. i.e IT sector ... the country , other companies ....
 
the trust of the shareholders has been broken by this scam.......satyam dint even gave respect to the award given to it for excellence in corporate governance........
 
Cooking of Book cannot be done by overnight or by one year. It has happened for the several years. What the auditors are doing there. Whenever Profession auditors doesnot follow professional ethics, the scam emerges.

So it is not the greed of one person. It is the greed of many.
 
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