Satyam Scandal Presentation
This document was uploaded by user and they confirmed that they have the permission to share it. If you are author or own the copyright of this book, please report to us by using this DMCA report form. Report DMCA
Overview
Download & View Satyam Scandal Presentation as PDF for free.
More details
- Words: 636
- Pages: 16
DEEPAK MITTAL MANOJ JANGIR
DHeeRAJ SINGLA SHASHI KANT
MANAGING DIRECTOR EX MANAGING DIRECTOR
RAMALINGA RAJU
NEW VICE CHAIRMEN & MANAGING DIRECTOR
ANAND MAHINDRA
ORGANISATIONAL STRUCTURE CEO
C.P. Gurnani
Board Members
Vineet Nayyar C. Achuthan T.N. Manoharan C.P. Gurnani Sanjay Kalra
INTRODUCTION LISTED NETWORK EMPLOYEES
SA TY AM
ACHIVEMENTS DEVELOPMENT CENTRES
SATY AM
ALLIANCES
SATYAM SCANDAL
WHY SATYAM GOES DOWN WHY SATYAM IS IN SCANDAL? Satyam Computers had on December 16, 2008, announced that it will acquire two group firms - Maytas properties and Maytas Infrastructure The BOD of Satyam had approved the founder’s proposal to buy 51 per cent stake in Maytas Infrastructure and 100 % in Maytas Properties. The total outflow for both the acquisitions was expected to be US$ 1.6 bn comprising of US$ 1.3 bn for the 100% stake in Maytas Properties and US$ 0.3 bn for the 51% stake in Maytas Infra This deal is not profitable for investors .So after this announcement they started to raise their voices against the deal The company is run by the sons of Ramalinga Raju It was started in the late 1980’s by Ramalinga Raju The main reason for the debacle of Maytas Infra is due to the debacle of Satyam
SATYAM SCANDAL
On 7 January 2009, company’s previous Chairman Ramalinga Raju resigned after notifying board members and the Securities and Exchange Board of India (SEBI) that Satyam's accounts had been falsified Raju confessed that Satyam's balance sheet of 30 September 2008 contained:
Inflated figures for cash and bank balances of Rs 5,040 crore (US$ 1.04 billion) (as against Rs 5,361 crore (US$ 1.1 billion) crore reflected in the books). An accrued interest of Rs. 376 crore (US$ 77.46 million) which was non-existent. An understated liability of Rs. 1,230 crore (US$ 253.38 million) on account of funds was arranged by himself. An overstated debtors' position of Rs. 490 crore (US$ 100.94 million) (as against Rs. 2,651 crore (US$ 546.11 million) in the books).
SATY AM
ON 30 SEPTEMBER 2008 CURRRENT ASSETS
LIABILITIES
NO ACCRUED INTEREST 376.34 CR.
5040+376+123 0+ 490= 7136CRORE
ACTUAL DEBT WAS 2161 OVERSTATE D 490 CR. ACTUAL CASH IN BANK WAS 321 INFLATED 5040 CR.
UNDERSTAT ED LIABILITY 1230 Cr. Which was ARRANGED BY MR.RAJU
SATY AM
SATY AM
SATYAM SCAM: SO HE IS TO BLAME` ØWho is guilty in this sordid state of events? ØBut there were others who are also culpable.
SA TY AM
SATYAM’S AUDITORS
PRICE WATER HOUSE COOPERS
SATY AM
THE SEBI The Sebi had in December given a clean chit to Satyam in the probe on violation of corporate governance law.
SATY AM
THE BANKER’S If the auditors were conned, it means that either the bank statement and certificates were forged Satyam's banks – ICICI Bank, HDFC Bank, Bank of Baroda, etc ●
SATYA M
WHAT MANAGEMENT COULE DO? Change the name of the company. Reconstitution of the board :- Restore the management of the company and appoint some reputed people as the board of directors. Try building confidence in the clients to get back the lost projects. The image of the company could be revived by a series of press conferences highlighting the on going contracts with the clients. It could also be merged with any other software company.
SATY AM
Tech Mahindra wins bid for Satyam Scam Ø Tech Mahindra is paying Rs1757 crore for a 31% stake in the company, or Rs 58 per share. Ø Satyam Computer Services has now zoomed 15% to Rs 54.20 ahead of the announcement of the highest bidder for the company on April 13, 2009. Ø In India this moment was full of praise for the manner and speed with which the reconstituted board of Satyam Computer Services found a strategic investor .
DON’T TRY THIS AT OWN
mahindr a
SATYAM
DON’T TRY THIS AT OWN
DHeeRAJ SINGLA SHASHI KANT
MANAGING DIRECTOR EX MANAGING DIRECTOR
RAMALINGA RAJU
NEW VICE CHAIRMEN & MANAGING DIRECTOR
ANAND MAHINDRA
ORGANISATIONAL STRUCTURE CEO
C.P. Gurnani
Board Members
Vineet Nayyar C. Achuthan T.N. Manoharan C.P. Gurnani Sanjay Kalra
INTRODUCTION LISTED NETWORK EMPLOYEES
SA TY AM
ACHIVEMENTS DEVELOPMENT CENTRES
SATY AM
ALLIANCES
SATYAM SCANDAL
WHY SATYAM GOES DOWN WHY SATYAM IS IN SCANDAL? Satyam Computers had on December 16, 2008, announced that it will acquire two group firms - Maytas properties and Maytas Infrastructure The BOD of Satyam had approved the founder’s proposal to buy 51 per cent stake in Maytas Infrastructure and 100 % in Maytas Properties. The total outflow for both the acquisitions was expected to be US$ 1.6 bn comprising of US$ 1.3 bn for the 100% stake in Maytas Properties and US$ 0.3 bn for the 51% stake in Maytas Infra This deal is not profitable for investors .So after this announcement they started to raise their voices against the deal The company is run by the sons of Ramalinga Raju It was started in the late 1980’s by Ramalinga Raju The main reason for the debacle of Maytas Infra is due to the debacle of Satyam
SATYAM SCANDAL
On 7 January 2009, company’s previous Chairman Ramalinga Raju resigned after notifying board members and the Securities and Exchange Board of India (SEBI) that Satyam's accounts had been falsified Raju confessed that Satyam's balance sheet of 30 September 2008 contained:
Inflated figures for cash and bank balances of Rs 5,040 crore (US$ 1.04 billion) (as against Rs 5,361 crore (US$ 1.1 billion) crore reflected in the books). An accrued interest of Rs. 376 crore (US$ 77.46 million) which was non-existent. An understated liability of Rs. 1,230 crore (US$ 253.38 million) on account of funds was arranged by himself. An overstated debtors' position of Rs. 490 crore (US$ 100.94 million) (as against Rs. 2,651 crore (US$ 546.11 million) in the books).
SATY AM
ON 30 SEPTEMBER 2008 CURRRENT ASSETS
LIABILITIES
NO ACCRUED INTEREST 376.34 CR.
5040+376+123 0+ 490= 7136CRORE
ACTUAL DEBT WAS 2161 OVERSTATE D 490 CR. ACTUAL CASH IN BANK WAS 321 INFLATED 5040 CR.
UNDERSTAT ED LIABILITY 1230 Cr. Which was ARRANGED BY MR.RAJU
SATY AM
SATY AM
SATYAM SCAM: SO HE IS TO BLAME` ØWho is guilty in this sordid state of events? ØBut there were others who are also culpable.
SA TY AM
SATYAM’S AUDITORS
PRICE WATER HOUSE COOPERS
SATY AM
THE SEBI The Sebi had in December given a clean chit to Satyam in the probe on violation of corporate governance law.
SATY AM
THE BANKER’S If the auditors were conned, it means that either the bank statement and certificates were forged Satyam's banks – ICICI Bank, HDFC Bank, Bank of Baroda, etc ●
SATYA M
WHAT MANAGEMENT COULE DO? Change the name of the company. Reconstitution of the board :- Restore the management of the company and appoint some reputed people as the board of directors. Try building confidence in the clients to get back the lost projects. The image of the company could be revived by a series of press conferences highlighting the on going contracts with the clients. It could also be merged with any other software company.
SATY AM
Tech Mahindra wins bid for Satyam Scam Ø Tech Mahindra is paying Rs1757 crore for a 31% stake in the company, or Rs 58 per share. Ø Satyam Computer Services has now zoomed 15% to Rs 54.20 ahead of the announcement of the highest bidder for the company on April 13, 2009. Ø In India this moment was full of praise for the manner and speed with which the reconstituted board of Satyam Computer Services found a strategic investor .
DON’T TRY THIS AT OWN
mahindr a
SATYAM
DON’T TRY THIS AT OWN
Related Documents
Satyam Scandal Presentation
June 2020 5
Satyam Scandal
December 2019 23
Satyam Scandal - Wharton Knowledge
December 2019 9
Satyam Scandal And Corporate Governance
May 2020 6
India's Stinking Auditors - Satyam Scandal - Part Two
December 2019 16
Scandal
June 2020 14More Documents from "dark"