Mr Raju, can you just say sorry and get on with it please?

re: Mr Raju, can you just say sorry and get on with it please?

M.R.Jayaprakash — Thu, 08 Jan 2009 09:25:30 GMT

Auditor’s Independence What is Independence, if the Auditor’s Appointment is made by the Promoter who holds majority stake or has can get through the resolution because, he is managing the company ie. a listed company. As one of the Professional who is into company audits for the last 25 years always feel that there is clash of interest being appointed as auditor by the Promoter who holds majority stake or he has a say in the company because he can yield pressure on appointment in the General Meeting. I was also part of the Audit Team when our Audit Firm were Statutory Auditors and Audited Banks and Companies like State Bank of India, Vijaya Bank, Indian Overseas Bank, BEL, HMT and other Government Organizations. Here the joint auditors used to work as team, with discussion jointly we used to identify the areas where we need to concentrate more and get information from the company / bank. Audit finalization was done with mutual consultation on matters which we need to qualify based on Materiality and other factors. If an analysis is made on the Quality of Reporting on these Public Sector Companies and the Audits made by the Big Four, the Quality of Reporting of Auditors who are not part of Big Four, surpasses the Quality of Big Four by a Great Margin. Solution lies within the Shareholders and Investors of all listed entities to Identify an Audit Firm who are not part of Big Four and make them Joint Auditors along with Big Four who are already Auditors in that company on doing this there will a change in the reporting pattern to the Share Holders and Investors or there is already a Body already which appoints Auditors for Public Sector Banks and Companies which can be tapped to get the information on Auditors who have a good track record on Audit of Companies. To Avoid major mishaps in the financial reporting, Appointment of Joint Auditors of 2, 3 or 4 etc based on the Turnover of the Enterprise is very important as one auditor will not be able to exercise independence and report in the factual matter. I request all the Investor community to look into this and implement the suggestion given so that Second Satyam Fiasco will not Happen Again. Jai Hind M.R.Jayaprakash Chartered Accountant Bangalore

re: Mr Raju, can you just say sorry and get on with it please?

Hemant — Wed, 07 Jan 2009 09:58:18 GMT

I feel sorry for those who invested in Satyam. Even traders must be crying.. a share which was traidng at 180 levels today.. crashed to a low of 30 in a span of a few hours! Who will take responsibility for this? 80% drop in a day's trade!!. God bless all those who invested in this stock and are left with pretty much nothing.

re: Mr Raju, can you just say sorry and get on with it please?

Suresh Ramasubramanian — Sun, 28 Dec 2008 13:47:37 GMT

Looks like Satyam is mounting the usual response to negative mentions in the media - encouraging employees / PR staff to go out to the various blogs and newspapers and post the same boilerplate comment. In yours - From Rimas December 26, 2008 11:06 PM Satyam still fundamentally sound company: 1. Satyam has Presence across the Globe (20 Industries ,65 Countries) more diverse than Wipro & INFY. This does happen by accident. This spread helps Satyam in tough economic conditions. In this other blog post (#3 on a google search for "throw ramalinga raju out".. http://gaurav1.blogspot.com/2008/12/raju-steals-16-bn-from-satyam-why.html Kulwinder said... Gaurav I must share a few facts with you and others to reiterate that Satyam still fundamentally sound company: 1. Satyam has Presence across the Globe (20 Industries ,65 Countries) more diverse than Wipro & INFY. This does happen by accident. This spread helps Satyam in tough economic conditions. Did you know outside India in Asia Pac Satyam revenue are more etc etc. Well, what do you know .. http://www.google.co.in/search?q=Satyam+has+Presence+across+the+Globe+(20+Industries+%2C65+Countries)+more+diverse+than+Wipro+%26+INFY&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-US:official&client=firefox-a Interesting amount of boilerplate posting going on here. Tch, tch .. do you think the readers of livemint are fools, Raju?

re: Mr Raju, can you just say sorry and get on with it please?

Harsha B — Sun, 28 Dec 2008 08:53:09 GMT

This is not the right time to buyback shares. The share price has fallen significantly after the anouncement. The BoD of the company should be re-organized, more independent directors (not just seat warmers) should be included in the board, confidence should be restored among the clients, employees and shareholders and then the company should go for a buyback. That is when the shareholders will get the correct price for their shares.

re: Mr Raju, can you just say sorry and get on with it please?

Rimas — Fri, 26 Dec 2008 17:36:28 GMT

Satyam still fundamentally sound company: 1. Satyam has Presence across the Globe (20 Industries ,65 Countries) more diverse than Wipro & INFY. This does happen by accident. This spread helps Satyam in tough economic conditions. Did you know outside India in Asia Pac Satyam revenue are more than any of the Top 3 Indian IT services firm. De-risked Geographic revenue distribution 21% Europe, 17% Asia Pac, 62% America’s. Best present to leverage emerging markets. 2. Satyam has Mature Practices DWBI & ERP. HCL had to spend over 0.5 Bn to get the ERP skills which we already have. they just save $ 0.5 Bn 3. Revenues & Net Income have Grown Five-fold over last 5 years. This by sheer hard work by 50,000 people. Not by accident 4. FY08 was the 5th successive year of >35% Growth in Net Income. Show’s how they have got profits year after year. 5. 32% revenue coming from New & Emerging vertical : Satyam has diversified and expanded is industry depth. 6. Deepest Fortune 500 client penetration 185, Total 690 clients. Clients continue to support Satyam in spite of the issues that have surfaced in last 10 days. Company has as many clients as Infosys and strong fundamentals then why worry? 7. Company has the largest cash reserve to revenue ratio in IT industry as a result of company employees under management direction … why question it now? 8. Client delight index is a 4.5 out of 5, client retention is 98% – clients are an asset – do not loose sight of the fact and do not slight Satyam and management for just one aberration – this is an organization and not just a script on the BSE/ NYSE

re: Mr Raju, can you just say sorry and get on with it please?

Mini Satyam fundamentally a solid company — Fri, 26 Dec 2008 17:27:59 GMT

The fundamentals of Satyam are sound and its ability to serve its our clients is unaffected. The current situation is affecting management at the board level and Satyam investors. However, this does not really impact day to day transactions with customers. Here at Satyam each of us runs a small or medium sized company – Each FLCL (Full Life Cycle Leader) is like a true CEO – Maturity of process frameworks to achieve this is phenomenal .. though a long way to go further but we are by far the best in this area. And above all a 30% grwoth Year on year at Satyam is not an easy task by any standard. Satyam has done that for over 10 years and Satyam will continue to do so.

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re: Mr Raju, can you just say sorry and get on with it please?

Shishir — Wed, 24 Dec 2008 11:03:33 GMT

raju and his family are a bunch of crooks and cheats !!

re: Mr Raju, can you just say sorry and get on with it please?

TRUST n TRUST — Wed, 24 Dec 2008 09:48:50 GMT

Hey Sanil....wakeup!!!! This is reality.....TRUST is the pumping engine for running such business.No TRUST NO SHOW!! No sympathies please......

re: Mr Raju, can you just say sorry and get on with it please?

Safe Investing — Wed, 24 Dec 2008 01:34:33 GMT

Not that easy .. to retain the confidence of public.

re: Mr Raju, can you just say sorry and get on with it please?

sanil moopan — Tue, 23 Dec 2008 18:02:05 GMT

who are the people talking about throwing raju out of satyam. he found out the company. he gave birth to it. Nobody has any right to throw him out. If he has taken a decision then it is for the better future of satyam.Satyam is an it major, which does not mean that it cannot move in to other business arenas. And yes Raju is capable of taking satyam to heights far above tata or any majors.Without him satyam would never have been a reality and now you guys want to throw him out.......disgusting......its you people who are to say sorry....

re: Mr Raju, can you just say sorry and get on with it please?

Raghav — Mon, 22 Dec 2008 10:34:48 GMT

This is nothing less than day light robbery. With just 8% stake in the company the promoters have resorted to something unheard in the corporate India. This onceagain throws up how an individual puts family first and ethics next ... The audacity to justify the decision is something shocking. It is time the management wakes up and do damage control. The future of IT companies depend on the 'trust' by the clients. If they feel that the management of Satyam is not confident about the future of IT business, then they may actually move away and look for other service providers.

re: Mr Raju, can you just say sorry and get on with it please?

Srikrishna — Sun, 21 Dec 2008 16:56:55 GMT

Mr Raju, For argument sake, lets draw an analogy. An employee of yours...oops..of Satyam... has a son or brother who has a separate furniture business and Satyam for argument sake again, needs furniture for its premises. Can the Satyam employee award the contract to his brother or son's firm and say," Well I dont need to tell all but have trust in me, I have been loyal to Company for 20 yrs, and that I dont need to evaluate all other offers." For argument sake again, lets say this offer was the cheapest and best, even then a conscientious employee should state that...let the award go to someone else and not his brother...just because he is my brother .Mind it, just because he is my brother, I, as an employee should remain above board..not in reality, but more improtantly, in perception. Satyam's stated core values enshrines- Perception precedes reality. Caeser's wife should be above the needle of suspicion! Mr Raju, you would have laughed at the preposterous emplyee who awards such contract on nepotism and fired him no doubt. Why should the board and management not be fired...they made all investors , employees lose not just money but invaluable trust. Would the board be now able to take tough decision to curb such behavior of its employees - do they have the moral face? Unless they treat employees also the way they treated the investors. An investor, employee and conscientious citizen

re: Mr Raju, can you just say sorry and get on with it please?

Shareholder — Sun, 21 Dec 2008 14:43:17 GMT

Below was my suggestion: **************** Dear Mr Raju I would like to make a suggestion for Satyam to rebuilt confidence among its stakeholders including employees, shareholders and the global community. The Chairman and the Board have done an incredible job so far and elevated Satyam to one of the leading business houses in India. You have made a lot of people very proud. In light of the recent acquisition plans, however, the employees and investors of Satyam have lost confidence in the Chairman's and the Board's ability to act in the best interest of these stakeholders. As such, the most honorable things is for the Chairman and the Board to resign. A graceful exit would be the most admirble and honorable thing to do in line with its fiduciary responsibility. We all must take responsibilities for our actions, and the Chairman and the Board are no exceptions, and clearly the failed acquisition plans call for resignations. Hence, I would encourage the Chairman, Mr Raju, and the other members of the Board to offer their resignations. In the past, Satyam's leadership team has set outstanding corporate governance standards, I hope that it would set the same standards in the current situation. regards ....

re: Mr Raju, can you just say sorry and get on with it please?

Rajiv — Sun, 21 Dec 2008 09:12:50 GMT

Apology ? That's too little to expect from a fradster, a bunch of them rather. There has to be some way to bring down the entire Raju gang off Satyam. They need to learn a harsh lesson, as they do lip service to Corporate Governance. I recollect that one of the Independent Directors, a Harvard Professor, is the one who has wrote a lot of pieces in the Harvard Business Review (HBR) on Corporate Governance and Unrelated diversification. Hope someone uses him as a real-life case study from this fiasco......