SATYAM SCAM
PRESENTED BY:ASHISH BUCHHANIKUNJ CHANDAKRIDDHIMA CHANDAKKAMAKSHI RAWAT
Achievements Listed in Top 13 best managed companies in
India First IT company in the world certified
under ISO9001:2000 United kingdom trade & Investment India
business award Golden peacock award for excellence in
Corporate Governance
Satyam clients
How it all begins?
A botched acquisition attempt involving MAYTAS in Dec 2008 led to a plunge in share price of SATYAM
In January 2009, Raju indicated that Satyam’s accounts has been falsified over a number of years
He admitted to an accounting fraud to the tune of 7000 Cr. rupees and resigned from Satyam board on 7 January 2009
What crime he had committed?
Misleaded various investors Dummy accounts used to trade in Satyam’s
shares Funds of Satyam diverted to Maytas Withdrawing 20 Cr. Per month for paying
13000 non existing employees
Reasons For Satyam Scam Raju wanted to takeover his MAYTAS INFRA &
MAYTAS PROPERTIES(company of his sons) He was blamed that he was using the funds of
investors for the family business
Consequences Huge decline in share price of company Company law bared the board from
functioning New York Stock Exchange has halted trading
in Satyam stock India’s NSE decided to remove Satyam from
Share index Satyam ranked 4th in IT companies. Now it is
least valuable IT company in India
Regulators Investing Satyam
Steps taken after Satyam Fraud
Introduction of new rules by the SEBI, making it compulsory for promoters of companies to disclose percentage of shares pledged by them to lenders.
Appointment of independent auditors & CS by company law board to conduct audit of any private organization.
Satyam Acquired by Tech MahindraAnand Mahindra, chairman of Tech Mahindra take over Satyam for Rs 2890 crore, giving hope and future to Satyam’s Employees
Thank you
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