Sunday, January 11, 2009

That Satyam Story

Just like everyone else, I too spent some time in watching news coverage, reporting, and reading blogs about Satyam saga - some of them apologetic till the last day.

I have been wrong many times before, but this is what I think (or rather my influences make me think):

  1. Rajus have reportedly strong political connections. They should be out in no time. Their personal assets won't be attached/taken over; there would be no/negligible fine. They may be convicted after 5-6 years of trial, but would get bail.
  2. Satyam must have had cash. The whole Indian outsourcing industry couldn't have been booming all these years with 3% (below inflation) returns. This point has been made by a much more intelligent person.
  3. That cash won't be recovered. That cash should have gone into Raju's pockets.
  4. It looks like the auditors (PWC) have been accused before (Global Trust Bank). They won't be punished this time too.

I don't know what would happen to victims of this saga - 53K employees. I hope they do well.

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