Wednesday, January 07, 2009

India's very Own Madoff

Today billion Indians woke up to hear Mr Raju the chairman and CEO of Satyam Computers announce that he had defrauded the company to the tune of 7000 crore rupees ( almost a billion dollars).

Well we have to hand it out to him to come open with his confessions, I am sure his conscience was pushing him.
His statement was "It was like riding a tiger, not knowing how to get off without being eaten.” Well he has got off OK, but millions of people and employees you gave their everything to the company have been mauled by the tiger.

What is more shocking is that he claims that only he knew about this and no one else was party to this.

The only question I ask is what where the auditors doing, as in this case it was PWC. I am sure they will suffer the most than Satyam. It is a slap on their face and the work they do.

Whatever little image which India was trying to build over the last couple of years has come crumbling down, reminds us of those days of Harshad Mehta who treated banks and financial institutions as his personal ATM.

I feel the law of the land should deal a very strong blow to Satyam as a company and obviously the CEO, but I would
also like to see the directors who are given the responsibility by the shareholders put behind bars. This type of defraud from one of the biggest IT listed company is a shame to the country and every honest man.

India really need to wake up and smell the coffee. I still feel that this is just tip of the iceberg, I am sure lot of promoter owned companies are doing this maybe at a smaller scale. Professionalism is not to be talked about but practiced. Maybe India is learning the wrong things from the west in trying to project the growth story.

I really pity the employees of Satyam who will definitely be embarrassed beyond doubt on the deeds of their CEO.

Definitely this a very sad moment for India.

The worst part 'Satyam' means 'The Truth' in Indian language.