Fraud-hit Satyam to restate accounts for seven years
Satyam Computer said Thursday it was on track to restate accounts going back seven years, after its founder-chairman had admitted to a massive corporate fraud in January.
By Agencies |
MUMBAI: Satyam Computer said Thursday it was on track to restate accounts going back seven years, after its founder-chairman had admitted to a massive corporate fraud in January.
"We are likely to go back (in restating accounts) for at least 6-7 years. Work is in progress," company spokesman Sridhar Maturi told the media by phone from the firm's headquarters in Hyderabad.
Satyam has appealed to the Company Law Board to be given until March 31 to complete the process.
Satyam shares rose 4.01 percent to 80.4 rupees in afternoon trade at the Mumbai stock exchange.
In April, mid-sized outsourcer Tech Mahindra paid nearly 600 million dollars for a majority share in Satyam, after company founder and former chairman B. Ramalinga Raju admitted the firm had falsified accounts and assets and inflated its profits "over a period of several years".
The takeover had a rapid effect, with Satyam reporting modest but better-than-expected quarterly profits of 1.81 billion rupees (38 million dollars) for the quarter ending December 2008.
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Several equity research firms have dropped Satyam from their investment radar since the fraud. Satyam, India's fourth-largest software exporter, operates in nearly 70 countries, with 690 clients including 185 Fortune 500 blue-chip companies.
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