Raju Ban Gaya Conman

Thursday, 18 December 2008 13:00

Written by essbee, onion uttapam news

Barely three months after a high-level IT company employee Biswamohan Pani was caught stealing corporate secrets of his former company Intel, another high level employee of one of India's foremost IT company, Raju Ramalinga, Founder and Chairman of Satyam Computer Services was caught red-handed stealing $1.6 billion (Rs. 8000 crores) of his company's cash reserve and transferring the stolen amount to his sons and relatives, promoters of Maytas Properties & Maytas Infra.

Raju Ramalinga used his extensive knowledge of upper-level management jargon and attempted to fool shareholders of the company into believing that the transfer of company's cash reserve to his son's accounts was not daylight robbery of Satyam's funds, but 'diversification strategy' aimed at diversifying into 'another growth area' and making the company 'more competitive' in a 'challenging market'.

Mr. Jayesh Shroff of JF Asset Management, one of the big investors in the companys, said Raju was caught red-handed when he refused to disclose the name of the Big Four firm that he claimed had valued the assets of the two companies of Maytas group. "We were shocked to know that the money would be transferred straight into the pockets of Raju's sons and relatives" added Pankaj Gupta of SBI Mutual Fund, another large investor in Satyam.

"The accused abused his position as Chairman of the company and misused his authority in an attempt to steal shareholder's money and gift it to his sons and relatives" Senior Superintendent of Police Raman Niranjan said.

"Using his complete mastery over the fine art of bullshitting and applying complex managerial jargon, the accused tried to hoodwink the shareholders of the company into considering diverting company's funds into his son's pockets. Fortunately, some of the investors managed to see through his convoluted business jargon, got suspicious of his plans and lodged a complaint with us. During investigations the allegations were found to be true and the accused was forced to revoke his decision to transfer Satyam's funds to his son's accounts." added the Senior Superintendent.

But shockingly, shareholders of Satyam Computer Services have decided not to terminate the services of Raju Ramalinga and the entire board of directors who colluded with him to loot shareholder's money. "We are extremly dissappointed that Raju along with all the directors of our company tried to steal our money, but as a humanitarian gesture we have decided to not press charges against him and allow him to continue as Chairman of our company. Since this is his first-time offence, we have decide to let off Raju with just a warning and we hope that in future he won't repeat this mistake." said Rukshad Shroff of JM Asset Management.

"In these hard times of looming recession and after such a public scandal, it would be very difficult for Raju and the board members to find another job. Considering their past services to the company, we have decided to retain their services" said Joseph Feresi from Jamney Montgomery Scott.

Senior Superintendent of Police Raman Niranjan also concured with the view of company's shareholders and decided to let him off the hook, "Raju's name doesn't exist in our police records. Since this is his first offence and also considering that the exceedingly small amounts involved in this petty theft attempt, we have decided not to press charges against him"

Comments (3)

ragamuffin: ...

To be let off after just a warning and not have any charges pressed against him is even more surprising. In a country where petty thieves are mercilessly punished if caught stealing even a loaf of bread these humanitarian grounds do not make sense.

1

December 18, 2008

maverick58: ...

The World Bank has finally admitted that it has decided not to do business with city-based Satyam Computers for eight years over charges of data theft.

A Satyam spokesperson, however, refused to react to the World Bank statement.

After media went to town with the World Bank revelation, Satyam’s stock crashed by 13.5 per cent and closed at Rs.140.40 on the Bombay Stock Exchange. It had earlier touched a low of Rs 138.

Reports had appeared in October itself that the World Bank had implicated Satyam for data theft and had banned it. The company and the bank, however, had denied the ban then. It is now learnt that the decision was made in February and the ban was implemented in September. This is the harshest step taken by the World Bank on any company since 2004.

A Fox News report quoted a top information security official of the World Bank, Mr Robert Van Pulley, as saying that Satyam faced action because of “improper benefits to bank staff” and “lack of documentation on invoices”.

Mr Van Pulley said that Satyam was overseeing data that ranges from accounting and personnel records to trust funds administered for many rich nations. “The company was straying badly across the bank’s ethical warning lines,” he said.

Upaid Systems, an mobile payment services, has sued Mr Raju, the chief financial officer, Mr Srinivas Vadlamani, and corporate governance head, Mr G. Jayaram, in connection with the Maytas deal.

2

December 24, 2008

ukderebail: Raju has to go

I think Raju has bought shame to IT industry of India, It is better he should pack up and go, Infosys will be better off taking over Satyam. It is real shame. Even though I am shareholder of this company, i am helpless to see such a shameful corporate governance. Once before he had swindled the company now once again with dummy directors, he tried to swindle the company of its wealth. It is good that majority of the shareholders rebelled against the move.

3

December 29, 2008

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