Satyam’s Ramalinga Raju Arrested – Board Suspended By Govt
Well it had to happen. We had blogged about Satyam’s Chairman Raju’s resignation letter and how it was one of the worst bit of corporate news for IT in India. Now come the repurcussions of the same with Raju surrendering to the police and being taken in custody for various charges.
The government has finally intervened and suspended the existing board as they too aren’t trustworthy given what has transpired in the last few days. Satyam stock has stopped trading in BSE and also the Nifty and singapore indices.
Also the big impact of this fiasco is on the 50000+ employees that satyam have. Apparently 20,000 resumes have been floating around in the last few days but Infosys and Nasscom both have taken a stand not to hire/poach Satyam’s employees. In a press conference the interim CEO of Satyam stated that they might just have enough money to pay December salaries which means heavy layoff’s is expected unless someone comes and acquires them and saves the day.
All in all satyam is the talk of the country and even at the Headstart event where we are today most startups were discussing the impact of this on the IT Industry. All I can say is whatever the impact it wont be good.
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This is very sham full task in India.One of the eminent CMD has done this type of scam.
Now all the companies of India are feeling guilty in front of Global market.