Presented by:-

Mohit Sadhotra – PRN 80

Bhushan D. Wadher - PRN 110

With foreword by Kiran Karnik

MANAGEMENT INTRODUCTION HOW ITS HAPPENED WHAT WENT WRONG? IMPACT ON INDIAN IT INDUSTRY INDIA’S STEP TO SAVE SATYAM LEARNINGS

FOUNDER : Mr. Raju Ramalinga CEO : Mr. A. S. Murthy

Satyam Computers was established in the year 1977 Satyam Computers was 4th fastest growing IT

company in India Satyam Computers had domain expertise in various

vertical 40,000 employees Satyam Infoway (Sify) is the first Indian Internet

company to be listed on NASDAQ It is the first company of India listed in three

International Exchanges i.e. NYSE, DOW and EURONEXT

Declared one of the “100 Most Pioneering Technology Company”

Satyam Computer Services leading outsourcing company that counts General Electric, General Motors, Nestle, the US Government, Qantas and National Australia Bank amongst its clients

Purpose of Scam Maytas Acquisition.

Inflated figures for cash and bank balances of INR 5,040 cr. (as against INR 5,361 crore reflected in the books).

Operating Profit were artificially boosted from the actual 61 cr. to 649 cr.

Satyam also showed an interest earning of Rs. 376 cr. that was fictitious.

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.

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

On April 14, Tech Mahindra had acquired control of Satyam. And Karnik’s job for all practical purposes was over. Anand Mahindra, vice-chairman and managing director, Mahindra & Mahindra, says that he was keen on Karnik staying back but Karnik wanted to move on

By Anand Mahindra- This development has resulted in incalculable and unjustifiable damage to brand India and brand IT in patiticular.The whole of Indian Industry should not be tarred with the same brush.

By Deepak Parekh- I am shocked , Iam surprised , disappointed.It is the scandal , fraud of disproportion. What were the profesional staff doing , what were the financial controllers were doing in the satyam?

By K V Kamath- Thre is a need to immediately examine the loopholes in regulation ,acoounting,audit and governance that allowed such lapses to occur and address with them urgency.