Satyam chairman resigns after admitting fraud

08 January 2009

The chairman of Satyam Computer Services, India's fourth-largest software services exporter, resigned yesterday, disclosing that profits had been falsely inflated for years and sending its shares tumbling nearly 80%. Ramalinga Raju unsuccessfully tried to sell two companies to Satyam last month in a final attempt to plug $1.03bn of 'fictitious' cash on the company's balance sheet, he wrote in a letter to the company's board. Profits have been inflated for 'several years', he said.

A MEED Subscription...

Subscribe or upgrade your current package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.

Get Notifications