26-03-2012, 03:08 PM
INDIA’S ENRON SATYAM SCAM
on satyam scam.ppt (Size: 683.5 KB / Downloads: 56)
INTRODUCTION
Satyam was established in 1987.
4th fastest growing IT company in India.
9 % market share
40,000 employees
Revenue $2.1 billion
It is the first company of India listed in three International Exchanges i.e. NYSE, DOW and EURONEXT
HOW IT’S HAPPENED
Maytas Acquisition.
Investors Aborted.
Board Members Resigned.
On 7th Jan., 09, Chairman resigned after announced involvement in fraud.
IMPACT ON INDIAN IT INDUSTRY
It is surely going to be more difficult for other Indian IT service players to win business.
Undoubtedly, this is going to hurt the prospects of foreign money flowing into India.
Global perception about indian companies.
Indian stock market slipped over 7% on 7th Jan., 09.
INDIA’S STEP TO SAVE SATYAM
The Indian Government has stated that it may provide temporary direct or indirect liquidity support to the company
Govt. has appointed new board of members for Satyam consisting of heavy weights from India's corporate sector.
Satyam is seeking bank loans to help cover salaries and other operating expenses