Tuesday, January 13, 2009

screwed with satyam......a thought

7/1/2009
New year in India starts with a shock. The Satyam CEO admits to misdepiction of his company's financial position to a tune of Rs 6000 Crores (or roughly around US $15 Million ) directly and net to a tune of Rs 17000 crore. The whole director board , all the auditors, and the chief financial officer is taken into police custody. The Indian Government steps in and forms a new directorial panel to keep running the company.
But what about the investor.
I've been keenly interested in the ever growing IT sector in India. Satyam was the biggest player in the IT market throughout the world, looking at the fact that it has 184 of the fortune 500 companies as its clients. Other clients include FIFA,and the UN. It employs more than 52000 employees throughout the world.
So should we divert our focus to some other player, or stick with Satyam. I firmly believe that we should keep sticking to Satyam, looking at the fact that if the declaration hadnt been done, Satyam would have continued well. Afterall, the management were responsble for the decisions, but the company was based on its performance, and the performance was due to their employees. The employees still remain the same. The brains working behind the computers are still the same. Still should there be any doubts regarding the company, i dont think so. There's no need to panic.

Do you think the same?? Drop in your comments.

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