Satyam: A Rs. 7000 Crore Fraud

the indian corporate world is in shock. On 7th Ramalingaraju the chairman of satyam resigned. in his resignation letter to SEBI and the board members he has confessed to cooking the books of satyam and showing excess cash of the tune of Rs. 7000 Cr. this news has been a shocker not only because of the magnitude of the scam but also because it happened in not a fly-by-night operatorbut in a highly respected company which was the fourth largest IT firm in India. what is also shocking is how such a fraud can escape the auditors (Price Waterhouse Coopers in this case) after the leak of this news the talk in all the classes in the college is about the fallout of this and how to handle such a situation. The latest news is that Ramalinga Raju is untraceble though he is believed to be still in Hyderabad. Satyam had made a new team headed by the interim CEO Ram Maypatni whose name had been suggested by Rajuin his letter but now the Govt has dissolved the board and will appoint a new board which is expected to meet in next few days. the fate of the 53000 employees is uncertain and the investors have lost their money as the stock has nosedived. the govt is trying to make the situation a little better but it remains to be seen how it finally plays out