Ramalinga Raju
Encyclopedia
Ramalinga Raju founded Satyam Computers
in 1987 and was its Chairman until January 7, 2009 when he resigned from the Satyam board after admitting to cheating six million shareholders. After being held in Hyderabad's Chanchalguda jail on charges including cheating, embezzlement and insider trading
, Raju was granted bail on 18 August 2010.
A botched acquisition attempt involving Maytas
in December 2008 led to a plunge in the share price of Satyam. In January 2009, Raju indicated that Satyam's accounts had been falsified over a number of years. He admitted to an accounting dupery to the tune of 7000 crore
rupees or 1.5 Billion US Dollars
and resigned from the Satyam board on January 7, 2009. In his letter of resignation, Raju described how an initial cover-up for a poor quarterly performance escalated: "It was like riding a tiger, not knowing how to get off without being eaten." Raju and his brother, B Rama Raju, were then arrested by the CID Andhra Pradesh
police headed by Mr. V S K Kaumudi, IPS on charges of breach of trust, conspiracy, cheating, falsification of records. Raju may face life imprisonment if convicted of misleading investors. Raju had also used dummy accounts to trade in Satyam's shares, violating the insider trading
norm. It has now been alleged that these accounts may have been the means of siphoning off the missing funds. Raju has admitted to overstating the company's cash reserves by USD$
1.5 billion. Raju was hospitalized in September 2009 following a minor heart attack and underwent angioplasty.
Raju was granted bail on condition that he should report to the local police station once a day and that he shouldn't attempt to tamper with the current evidence. This bail was revoked on 26 October 2010 by the Supreme Court of India
and he has been ordered to surrender by 8 November 2010.
The people of his native village, Garagaparru, hail the development works undertaken by the Byrraju Foundation, the charitable arm of Satyam.Ramalinga Raju was Granted a bail by the supreme court on 4th november 2011 after the Central Bureau of investigation failed to chargesheet Raju within the statutory period.
16, 1954 in a family of farmers. He did his B. Com from Andhra Loyola College at Vijayawada and subsequently did his MBA from Ohio University
, USA. Ramalinga Raju had a stint at Harvard too. He attended the Owner / President course at Harvard.
After returning to India
in 1977, Ramalinga Raju moved away from the traditional agriculture business and set up a spinning and weaving mill named Sri Satyam. . Thereafter he shifted to the real estate business and started a construction company called Satyam Constructions. In 1987, Ramalinga Raju founded Satyam Computer Services along with one of his brothers-in-law, DVS Raju. The company went public in 1992. With the launch of Satyam Infoway (Sify) Satyam became one of the first to enter Indian internet service market.
4,2011 granted bail to Ramalinga Raju, founder and former chairman of outsourcing firm Satyam Computer Services Ltd, in a $1.5 billion financial fraud case, after the Central Bureau of Investigation (CBI) failed to file charges on time. Mr. Raju said that INR
50.4 billion , or $1.04 billion, of the 53.6 billion rupees in cash and bank loans the company listed in assets at the end of its second quarter that ended in September 2008 were nonexistent
Satyam Computer Services Ltd.
Mahindra Satyam is a Brand identity of Satyam Computer Services Limited. Satyam Computer Services Limited was founded in 1987 by B Ramalinga Raju. Mahindra Satyam is a part of the Mahindra Group which is one of the top 10 industrial firms based in India...
in 1987 and was its Chairman until January 7, 2009 when he resigned from the Satyam board after admitting to cheating six million shareholders. After being held in Hyderabad's Chanchalguda jail on charges including cheating, embezzlement and insider trading
Insider trading
Insider trading is the trading of a corporation's stock or other securities by individuals with potential access to non-public information about the company...
, Raju was granted bail on 18 August 2010.
A botched acquisition attempt involving Maytas
Maytas
Maytas refers to a group of companies founded by B. Ramalinga Raju. It includes Maytas Properties and Maytas Infra Limited.-Maytas Properties:...
in December 2008 led to a plunge in the share price of Satyam. In January 2009, Raju indicated that Satyam's accounts had been falsified over a number of years. He admitted to an accounting dupery to the tune of 7000 crore
Crore
A crore is a unit in the Indian number system equal to ten million , or 100 lakhs. It is widely used in India, Bangladesh, Nepal, and Pakistan....
rupees or 1.5 Billion US Dollars
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
and resigned from the Satyam board on January 7, 2009. In his letter of resignation, Raju described how an initial cover-up for a poor quarterly performance escalated: "It was like riding a tiger, not knowing how to get off without being eaten." Raju and his brother, B Rama Raju, were then arrested by the CID Andhra Pradesh
Andhra Pradesh
Andhra Pradesh , is one of the 28 states of India, situated on the southeastern coast of India. It is India's fourth largest state by area and fifth largest by population. Its capital and largest city by population is Hyderabad.The total GDP of Andhra Pradesh is $100 billion and is ranked third...
police headed by Mr. V S K Kaumudi, IPS on charges of breach of trust, conspiracy, cheating, falsification of records. Raju may face life imprisonment if convicted of misleading investors. Raju had also used dummy accounts to trade in Satyam's shares, violating the insider trading
Insider trading
Insider trading is the trading of a corporation's stock or other securities by individuals with potential access to non-public information about the company...
norm. It has now been alleged that these accounts may have been the means of siphoning off the missing funds. Raju has admitted to overstating the company's cash reserves by USD$
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
1.5 billion. Raju was hospitalized in September 2009 following a minor heart attack and underwent angioplasty.
Raju was granted bail on condition that he should report to the local police station once a day and that he shouldn't attempt to tamper with the current evidence. This bail was revoked on 26 October 2010 by the Supreme Court of India
Supreme Court of India
The Supreme Court of India is the highest judicial forum and final court of appeal as established by Part V, Chapter IV of the Constitution of India...
and he has been ordered to surrender by 8 November 2010.
The people of his native village, Garagaparru, hail the development works undertaken by the Byrraju Foundation, the charitable arm of Satyam.Ramalinga Raju was Granted a bail by the supreme court on 4th november 2011 after the Central Bureau of investigation failed to chargesheet Raju within the statutory period.
Early Life
Ramalinga Raju was born on SeptemberSeptember
September is the 9th month of the year in the Julian and Gregorian Calendars and one of four months with a length of 30 days.September in the Southern Hemisphere is the seasonal equivalent of March in the Northern Hemisphere....
16, 1954 in a family of farmers. He did his B. Com from Andhra Loyola College at Vijayawada and subsequently did his MBA from Ohio University
Ohio University
Ohio University is a public university located in the Midwestern United States in Athens, Ohio, situated on an campus...
, USA. Ramalinga Raju had a stint at Harvard too. He attended the Owner / President course at Harvard.
After returning to India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...
in 1977, Ramalinga Raju moved away from the traditional agriculture business and set up a spinning and weaving mill named Sri Satyam. . Thereafter he shifted to the real estate business and started a construction company called Satyam Constructions. In 1987, Ramalinga Raju founded Satyam Computer Services along with one of his brothers-in-law, DVS Raju. The company went public in 1992. With the launch of Satyam Infoway (Sify) Satyam became one of the first to enter Indian internet service market.
Supreme court verdict
The Supreme Court on NovemberNovember
November is the 11th month of the year in the Julian and Gregorian Calendars and one of four months with the length of 30 days. November was the ninth month of the ancient Roman calendar...
4,2011 granted bail to Ramalinga Raju, founder and former chairman of outsourcing firm Satyam Computer Services Ltd, in a $1.5 billion financial fraud case, after the Central Bureau of Investigation (CBI) failed to file charges on time. Mr. Raju said that INR
INR
- Codes :INR is:* the ISO 4217 currency code of the Indian rupee * the Federal Aviation Administration location identifier of the McKinley National Park Airport, McKinley Park, Alaska, United States...
50.4 billion , or $1.04 billion, of the 53.6 billion rupees in cash and bank loans the company listed in assets at the end of its second quarter that ended in September 2008 were nonexistent