final satyam scam.ppt 2

APresentation

on Satyam scam

Presented To : Miss Komal madamPresented By : Nirali Bavishi

MAM : 1En. Roll No. : 03

Smt. S. H. Gajera MBA Mahila college

88

Satyamscam

Monday, May 1, 2023 2

INTRODUCTION

3Monday, May 1, 2023

Who is b. Ramalinga Rajuo Born

o Family

o Residence

o Nationality

o Occupation


The Rise of Satyam

5

Year Satyam rise1987 Satyam Computers Pvt. Ltd. Born. 1991 June - First Fortune 500 Client.

August - Converted into Public Ltd. Co. 1994 The Big Break- Allies with Dun and Bradstreet

Corp. 2000 Declared one of the 100 most pioneering

technology companies by World Economic Forum.

2002 Dataquest IT Man of the year award. Monday, May 1, 2023

Career of B. Ramalinga Raju He was first businessman in the field of construction and

textiles. Raju founded Satyam in 1987. Satyam was listed in INDIAN STOCK EXCHANGE in

1991. Listed in NEW YORK STOCK EXCHANGE in 2001. Satyam was listed in UNESCO in 2008. There were 52000 employees working in Satyam in

September 2008


Awards and AchievementErnst & Young Entrepreneur of the Year Services

Award 1999.Dataquest IT Man of the Year Award 2000Asia Business Leader Award 2002Ernst & Young Entrepreneur of the Year 2007 (revoked

after the fraud was confessed)Golden Peacock Award for Corporate Governance 2008

(revoked after the fraud was confessed)Employees spread over many countries


The Entire StoryRamalinga Raju founded Satyam Computers in 1987 and

was its Chairman until January 7, 2009 when he resigned from the Satyam board after admitting to cheating six million shareholders.

After being held in Hyderabad Chanchalguda jail on charges including cheating, breach of trust and insider trading.

Raju was granted bail on 25.3.2011. Raju was granted bail on condition that he should report to the local police station once a day and that he shouldn't attempt to tamper with the current evidence.


CON......A botched acquisition attempt involving Maytas in

December 2008 led to a plunge in the share price of Satyam.

In January 2009, Raju indicated that Satyams accounts had been falsified over a number of years.

He admitted to an accounting dupery to the tune of 7000

crore rupees or 1.5 Billion US Dollars and resigned from the Satyam board on January 7, 2009.


People Behind This Scam

Ramalinga Raju : Satyam former chairman B Rama Raju : Brother of Ramalinga Raju Former Managing Director V Srinivas : Ex-Chief financial officer S Gopalakrishnan : Price Waterhouse Auditor Talluri Srinivas : Price Waterhouse Auditor


THE SCAM1. Raju and his brother, B Rama Raju, were arrested by the

Andhra Pradesh police on charges of breach of trust, conspiracy, cheating, falsification of records.

2. Raju has mislead various investors.3. Raju had also used dummy accounts to trade in Satyam's

shares.4. He has violated the insider trading norm.5. Funds from Satyam were diverted to mayqas.6. On 22 January 2009,CIDtold in court that the actual number

of employees is only 40,000 and not 53,000 as reported earlier


CON……Raju wanted to take over his MAYTAS INFRA and

MAYTAS PROPERTIES.

He was blamed that he was using the funds of the investors for the family business. There were allegations that funds from Satyam were diverted to Maytas, causing the Government agencies to verify the infrastructure company’s records.


HOW DID IT HAPPENED? Floated with two other

company Without taking permission of

shareholder Transfer of money

Failed to return money


Reasons for Satyam Scam1. Raju wanted to take over his MAYTAS INFRA and

MAYTAS PROPERTIES.

2. He was blamed that he was using the funds of the investors for the family business.

3. World bank had banned the satyam to take any services for 8 years (due to illegal profit and lack of essential document).


HOW THIS SCAM HAS RELATION WITH “MAYTAS” Maytas refers to a group of companies founded by B. Ramalinga

Raju. It includes Maytas Properties and Maytas Infra Limited.

A property development company founded in 2005.

Maytas Infra Limited: An infrastructure development, construction and project management company. Maytas Infra was originally run by Satyam Computer Services founder B Ramalinga Raju.

It came under the scanner due to its association with B. Ramalinga Raju.


Conclusion


final satyam scam.ppt 2

Education