Directors of the beleaguered IT major Satyam Computers Wednesday expressed shock the admission of founder-chairman B. Ramalinga Raju to committing a fraud to the tune of Rs.40 billion (Rs.4,000 crore or $823 million) before he resigned, along with Managing Director Rama Raju.3:30 PM on January 07
A quick-footed reorganization of Satyam can help the company keep going on sound lines avoiding the pitfalls caused by improper risk-takig methods of top management.If this reorgn. is done in the least possible time, co's existing goodwill can be sustained to be further increased. in this, the company and the shareholders and the work force should work together with a profound sense of commitment and long range view, peacefully without allowing financial jealousies to mess up the situation further.The bigger picture of India as a growing IT muscle demands that this is the best way to go about the future.
BM Sharma Thursday, January 08, 2009The capitalist ideology rests on the cornerstone of pleasing the shareholders to the maximum extent in a ruthless ratrace between competitors in the same business. In realizing this objective, exploitation of suppliers, customers and employees of the concerned company, and of any opportunities for takeovers, acquisitons and mergers of weaker counterparts. Judgments of errors can become legally frauds even if aimed to maneuver adjustments of actual balance sheet position with anticipated gains from takeovers and the like. In view of the huge professional manpower resources assiduously built up by the management over the years, and the interests of the employees, a sensible legal view could be taken that balances the legal fraud against a great future tapping the global market potential and goodwill built, under a new management with the full understanding and cooperation of its employees and shareholders and other interests.
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