Asatya vachan Raju takes Satyam down
ET: Satyam Computer Services Ltd’s B Ramalinga Raju has tendered his resignation as chairman of the company. Reacting to the news, shares of the IT company were down 62 per cent at Rs 64. Also, immediately following the news, DSP Merrill Lynch has terminated its engagement with the company.
Raju will continue in the position only till such time the current board is expanded. In a letter to the board of directors, Raju states that Satyam’s balance sheet as on Sep 30, 2008, carries an inflated (non-existent) cash and bank balances of Rs 5,040 crore (as against Rs 5,361 reflected in the books). Further, it carries an accrued interest of Rs 376 crore which is non-existent.
Raju will continue in the position only till such time the current board is expanded. In a letter to the board of directors, Raju states that Satyam’s balance sheet as on Sep 30, 2008, carries an inflated (non-existent) cash and bank balances of Rs 5,040 crore (as against Rs 5,361 reflected in the books). Further, it carries an accrued interest of Rs 376 crore which is non-existent.
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