Supreme Court permits SEBI to interrogate Ramalinga Raju

February 3rd, 2009 - 4:11 pm ICT by ANI  

Ramalinga Raju

New Delhi, Feb 3 (ANI): The Supreme Court on Tuesday permitted the Securities and Exchange Board of India (SEBI) to grill Ramalinga Raju, former chief of embattled Satyam Computer Services Limited and his brother, Rama Raju.
Both will be interrogated by SEBI’’s investigator, Sunil Kumar at the Hyderabad jail over the next three days.
On Monday, Goolam E. Vahanvati, Solicitor General and also Counsel for SEBI, submitted the request before a Bench headed by Chief Justice K G Balakrishnan. On January 31, a judge of a trial court in Hyderabad had adjourned to February 9, the hearing of petition of the SEBI to interrogate Ramalinga Raju. The court said it would not pass an order without hearing from Raju and his brother. On January 7, Ramalinga Raju confessed to fraudulent manipulation to the tune of rupees 7,136 crores over several years by inflating the company’’s profits and assets.
Although the Satyam scandal, India’’s biggest corporate fraud, has shattered global confidence in India’’s corporate governance, the other IT companies have assured the rest of the world that all relevant services are professionally and ethically in order and as such there should be no room for any doubt about the professional integrity of Indian companies. (ANI)

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