Australian cos in disarray over IT export to India
Nearly two-billion accounting fraud admitted to by the former Satyam Chairman is likely to cast its shadow over the Australian companies' plans to outsource IT jobs to India, according to a media report.
By PTI |
MELBOURNE: Nearly two-billion accounting fraud admitted to by the former Satyam Chairman is likely to cast its shadow over the Australian companies' plans to outsource IT jobs to India, according to a media report.
"Corporate Australia's push to export IT jobs to India is in disarray following a $1.84 billion fraud involving one of the key outsourcing companies," Australian daily Herald Sun said.
Telstra, Quantas, Coles National Australia Bank (NAB) and Suncorp are amongst the several Australian companies which has been affected by the Satyam scandal.
According to the report, Satyam Australia employs about 1,700 local staff. Apart from Australian clients Satyam's clientele include Citi Group and Nissan Motor Corp.
The report states that NAB has outsourced nearly 500 positions to India after engaging Satyam and other providers over the past three years.
Besides, Telstra also employs Satyam as one of its major IT contractors.
On Wednesday, Satyam's founder B Ramalinga Raju resigned after disclosing a near Rs 7,800 crore fraud in accounts. Satyam employs 53,000 people.
"Qantas, which signed a $71 million software development and maintenance contract with Satyam two years ago, said yesterday that if necessary it could activate alternative arrangements," it said.
Meanwhile, the report added that the "state government was in talks with Satyam about saving jobs of the companies Victorian employees and about the plans the company had for future expansion."
"Corporate Australia's push to export IT jobs to India is in disarray following a $1.84 billion fraud involving one of the key outsourcing companies," Australian daily Herald Sun said.
Telstra, Quantas, Coles National Australia Bank (NAB) and Suncorp are amongst the several Australian companies which has been affected by the Satyam scandal.
According to the report, Satyam Australia employs about 1,700 local staff. Apart from Australian clients Satyam's clientele include Citi Group and Nissan Motor Corp.
The report states that NAB has outsourced nearly 500 positions to India after engaging Satyam and other providers over the past three years.
Besides, Telstra also employs Satyam as one of its major IT contractors.
ADVERTISEMENT
On Wednesday, Satyam's founder B Ramalinga Raju resigned after disclosing a near Rs 7,800 crore fraud in accounts. Satyam employs 53,000 people.
"Qantas, which signed a $71 million software development and maintenance contract with Satyam two years ago, said yesterday that if necessary it could activate alternative arrangements," it said.
Meanwhile, the report added that the "state government was in talks with Satyam about saving jobs of the companies Victorian employees and about the plans the company had for future expansion."
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
