Satyam founder quits after admitting Rs.40 bn fraud (Lead)
January 7th, 2009 - 1:39 pm ICT by IANSHyderabad, Jan 7 (IANS) Satyam Computer Services founder chairman B. Ramalinga Raju resigned from the IT major’s board after admitting a fraud to the tune of Rs.40 billion ($823 million) in the balance sheet of the company.In a notification to the stock exchanges, the Hyderabad-based IT firm said Ramalinga Raju and Managing Director Rama Raju had resigned early Wednesday and that the Securities and Exchanges Board of India (SEBI) had been informed.
In the regulatory statement, Satyam’s erstwhile chairman and co-founder Ramalinga Raju said that the software services firm had fraudulently incorporated a non-existent cash component and inflated the bank balance to reflect Rs.5,040 crores (Rs.50.4 billion or $1.04 billion) as against Rs.5,361 crores (Rs.53.61 billion or $1.1 billion).
“Rama Raju shall continue in the position till such time the board is expanded and the continuance is to ensure enhancement of the board,” the company said in the notification.
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- Satyam Ramalinga Raju released on bail - Nov 05, 2011
- Satyam head quits after admitting massive fraud, stock crashes (Third Lead) - Jan 07, 2009
- Tech Mahindra, Mahindra Satyam to merge (Lead) - Mar 21, 2012
- Satyam's Ramalinga Raju, two others get bail - Nov 04, 2011
- Supreme Court cancels bail of Raju, five others (Second Lead) - Oct 26, 2010
- Stage set for Mahindra Satyam's merger - Mar 20, 2012
- Ramalinga Raju surrenders in court, back in jail (Lead) - Nov 10, 2010
- Mahindra Satyam, Tech Mahindra Ltd merge - Mar 21, 2012
- IT department freezes accounts of Mahindra Satyam - Mar 22, 2011
- Apex court rejects Raju's plea on surrender - Nov 09, 2010
- Ramalinga Raju discharged from hospital - Oct 02, 2010
- Satyam chairman Ramalinga Raju, MD Rama Raju quit - Jan 07, 2009
- Apex court says no to Raju's plea on surrender (Lead) - Nov 09, 2010
- India's IT bellwether Satyam admits financial fraud; directors quit (Roundup) - Jan 07, 2009
Tags: b ramalinga raju, bank balance, cash component, crores, exchanges board, rama raju, rs 40, s board, satyam computer services, software services firm
