Satyam fraud -A brief history !
It all started in 1987 when a man called lingaraju established satyam computer services ,since then there were many strides achieved by satyam and there was no looking back .
RECESSION THE FUGITIVE :
Satyam grew into india’s fourth largest IT industry and its legacy continued by maytas it was all going fine until the worlds recession hit them they were awestruck.
BIGGEST SCAM CONSEQUENT :
In early 2009 a satyam’s scam came to light which is the biggest scam in indian corporate history which rocked the indian stock market itself , mr.lingaraju the chairam of the satyam group manipulated the accounts leading to a disaster which is he admitted later.
REASON: The fudging of the accounts includes the showing of company’s balance sheet as Rs 5,040 crore and non- existent interest of Rs 376 crore on september 30 ,2008. Mr.raju belatedly realised the falsification of accounts once begun builds up a monstrous proportions. Continuing the fiction of spectacular earnings, the latest qaurterly results overstated the operating margin as RS.649 crore as against the actual 61 crore.
CONCLUSION : The unsolicited and the unprecedented satyam’s fiasco casts a shadow over the nature of corporate governance in india.