Over 5 lakh have stake in Satyam's survival: CII

Font Size

Agencies Posted: Jan 10, 2009 at 1752 hrs IST

Print Email Feedback Discuss

Related Stories: YSR updates Prime Minister on Satyam caseSatyam fraud probe picks up pace, Raju grilledSFIO team will need magisterial consent to quiz RajuNo delay in taking action against Raju: Gupta‘Andhra Govt has nothing to do with Satyam scam’

New Delhi: The big question on survival of Satyam Computer is giving anxious moments not only to its over 50,000 employees but also to over half-a-million people, who would get impacted indirectly if the IT firm does not come out of the trouble, CII President K V Kamath said on Saturday.

Kamath said each of over 50,000 Satyam employees supports a family of four. "Every white collar job creates four another jobs. (So) you are talking about anything between half-a- million to a million people, who could directly or indirectly have been impacted by this single event," Kamath said.

He said the crisis had such a social magnitude that made the Government act swiftly and save the company. Besides CII, Assocham and Ficci have also welcomed disbanding of the Satyam board of directors by the government.

They expressed hope that the move would help restore investor confidence not only in Satyam but in corporate India in general.

 

Raju sent to central prison; CFO Vadlamani arrested

Raju sent to central prison; CFO Vadlamani arrested Hyderabad/New Delhi, Jan 10 (PTI) One more top official of Satyam was today arrested and disgraced founder Ramalinga Raju and his brother Rama Raju were sent to judicial custody as the government and regulator SEBI huddled in Delhi to put a new management together to run the IT company. Raju, who three days ago disclosed a financial fraud in the company running into thousands of crores over several years, and his brother were produced before the 6th Chief Metropolitan Magistrate who remanded them to judicial custody till January 23, their lawyer Bharat Kumar said. The siblings will be treated as "C" class prisoners vastly different from the luxury of their home in the posh Jubilee Hills and will be treated like other prisoners, jail officials said. Vadlamani Srinivas, Satyam Computer's Chief Financial Officer, who resigned a day after the fraud came to light and which is yet to be accepted, was first picked up in the evening for questioning and was later formally placed under arrest, IG (CID) V S K Kaumudi said. Srinivas has been arrested on the same charges that have been slapped on the Raju brothers--criminal conspiracy, cheating, use of forged documents, forgery and criminal breach of trust--under the Indian Penal Code, he said. In Delhi, SEBI Chairman C B Bhave called on Corporate Affairs Minister Prem Chand Gupta to discuss coordinated action against Satyam - whose profits Raju admitted to inflating over the years - besides nominating new directors to the company's Board. Gupta apprised Prime Minister Manmohan Singh on the developments. Andhra Pradesh Chief Minister Y S Rajasekhara Reddy too called Singh to update him on the Satyam front, which the government has said dented corporate India's image globally.PTI