Satyam Computers Chairman,Ramalinga Raju resigned and confessed about the fake projections about his company. Find the complete details below.
Today can surely be called "A Shameful day" for the entire Indian corporate industry as one of the high profile Indian public companies,Satyam Computers' Chairman,Ramalinga Raju resigned today and confessed about the fake projections about his company's performance and financial status.
Raju confessed that company's balance sheet carried inflated figures from year on year.The company had been projecting non-existant profit & revenue figures and this had been happening for nearly 10 years within the company.
In his five page resignation letter to Satyam's board of directors,he admitted that for the second quarter which ended Sep 30, 2008,the company reported a revenue of $560mn (Rs 2,700 cr) and an operating margin of $135mn(Rs 649 cr) as against the actual revenues of $440mn(Rs 2,112 cr) and an actual operating margin of $12.5mn(Rs 61 crore).All this resulted in non-existant cash and bank balances up by $122mn(Rs 588 cr) in the second quarter alone.
Although Ramalinga Raju,ex-Chairman,Satyam Computers has taken all the blame on his own
Satyam Computers Chairman,Ramalinga Raju resigned and confessed about the fake projections about his company. Find the complete details below.
Today can surely be called "A Shameful day" for the entire Indian corporate industry as one of the high profile Indian public companies,Satyam Computers' Chairman,Ramalinga Raju resigned today and confessed about the fake projections about his company's performance and financial status.
Raju confessed that company's balance sheet carried inflated figures from year on year.The company had been projecting non-existant profit & revenue figures and this had been happening for nearly 10 years within the company.
In his five page resignation letter to Satyam's board of directors,he admitted that for the second quarter which ended Sep 30, 2008,the company reported a revenue of $560mn (Rs 2,700 cr) and an operating margin of $135mn(Rs 649 cr) as against the actual revenues of $440mn(Rs 2,112 cr) and an actual operating margin of $12.5mn(Rs 61 crore).All this resulted in non-existant cash and bank balances up by $122mn(Rs 588 cr) in the second quarter alone.
Although Ramalinga Raju,ex-Chairman,Satyam Computers has taken all the blame on his own