Satyam's Raju surrenders, arrested

[OhioChick]

Source: Times of India

9 Jan 2009, 2251 hrs IST, TIMESOFINDIA.COM

CHENNAI/HYDERABAD: Former Satyam chief Ramalinga Raju was arrested on Friday night, after he surrendered before the state DGP. Andhra cops are interrogating Raju.

Ramalinga Raju surrendered before the DG of Andhra Pradesh Police S S P Yadav, a police official said.

Ramalinga Raju was arrested along with his brother and co-founder B Rama Raju on charges of criminal breach of trust, criminal conspiracy, cheating, falsification of records and forgery, Andhra DGP told Reuters.

Earlier in the day, Andhra Pradesh CID filed criminal case against former Satyam chief Ramalinga Raju.

Raju, whose whereabouts were a matter of speculation ever since he made the startling disclosure on Wednesday about the Rs 7,800 crore financial fraud, had been in hiding and was summoned to appear before the SEBI on Saturday, PTI reported.


Read more: http://timesofindia.indiatimes.com/Satyams_Raju_surrenders_arrested/articleshow/3956216.cms

---

An update to this story:

Indian Outsourcing Giant Satyam Hit By Huge Accounting Fraud

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=103x414373

[OhioChick]

1. Does Satyam have cash to pay salaries?

Does Satyam have cash to pay salaries?

January 09, 2009 20:48 IST

Beleaguered Satyam management, struggling to set its house in order, is facing a major challenge to fight rumours and disinformation particularly relating to employees and their salaries.

The day started with a 'rumour' by some Satyam employees that there was an internal e-mail that talks about layoffs and uncertainty about salaries over the next two months, but it was later found that there was no such internal communication.

"No such e-mail exists," a Satyam spokesperson told PTI, adding that because of the uncertainty of the situation there are all kinds of rumours floating. But the management is doing everything in its ability to reach out to its employees and ensure that their future is safe.

Asked if the rumours could also have been generated by comments made by acting CEO Ram Mynampati that though the company had ensured the December salary for its 53,000 strong workforce, liquidity was a cause for concern, she said: "It looks like he may have been misinterpreted."

Snip~ "However, Satyam did not confirm if it has enough cash to pay the salaries of all it employees."

More: http://www.rediff.com/money/2009/jan/09satyam-staff-not-to-get-salary.htm

Another lawsuit filed against Satyam in US

January 09, 2009 21:51 IST

A new class action lawsuit was filed in the US courts on Friday against Satyam Computer, which already has two more such suits against it there filed on behalf of thousands of investors in the American Depositary Shares of the Indian IT firm.

Law firm Brodsky & Smith LLC today announced that it has filed a class action lawsuit on behalf of all persons who purchased ADSs of Satyam Computer between January 6, 2004 and January 6, 2009.

The class action lawsuit was filed in the United States District Court for the Southern District of New York, where the complaint has alleged that Satyam and its top officials "violated federal securities laws by issuing a series of material misrepresentations to the market, thereby artificially inflating the price of Satyam."

This is the third class action lawsuit filed in the US since Wednesday, when Satyam's founder and chairman Ramalinga Raju resigned after disclosing massive financial irregularities to the tune of over a billion dollar at the company over the years.

In these lawsuits, Satyam Computer has been charged with duping thousands of American investors of billions of dollars by artificially inflating share prices.

More: http://www.rediff.com/money/2009/jan/09satyam-another-lawsuit-filed-against-satyam-in-us.htm

[AnneD]

2. This is their Enron....

but given the level of graft, corruptions, and bribes in India-I am surprised this hasn't happened before.

[Bhaisahab]

3. Happens every fucking day.

Unfortunately for him, Raju just got caught. Maybe he stopped making weekly payments to the polishitians.

[AnneD]

5. Like I said.....

I am surprised it hasn't happened before now because you know it is going on.

[Jane Austin]

4. Ramalinga Raju?

I feel a Doo Wop song coming on . . . .

[AnneD]

6. Lion sleeps tonight......

lol. I chuckled too when hubby told me the name. But it's Ramalinga not Ramalamdingdingdong.