Satyam Fraud Case
Each of the 10 charged, including B Ramalinga Raju, in the multi-crore bookkeeping extortion Satyam case were discovered liable on Thursday by an special court in Hyderabad. An extraordinary CBI court on Thursday held Satyam originator and director B Ramalinga Raju and nine others liable in the multi-crore bookkeeping extortion.
The court discovered Raju blameworthy of cheating, phony and criminal break of trust. The punishment will be proclaimed tomorrow.
Touted as the country’s biggest accounting fraud, the scam had come to light on January 7, 2009, after the firm’s founder and then chairman B Ramalinga Raju allegedly confessed to manipulating his company’s account books and inflating profits over many years to the tune of crores of rupees.
Raju was captured by Andhra Pradesh Police’s wrongdoing examination division after two days after he supposedly admitted to the extortion, alongside his sibling Rama Raju and others.
In January last year, Ramalinga Raju’s wife Nandini Raju and sons Teja Raju and Rama Raju were among 21 relatives of the ex-Satyam boss who were convicted by a special court for economic offences here for default in income tax payment.
Raju and others were accused of offenses like swindling, criminal intrigue, forgery and break of trust under applicable areas of IPC for expanding receipts and earnings, account distortion, faking altered stores, other than supposedly misrepresenting returns through infringement of different Income Tax laws.
In February 2009, the CBI took over the investigation and filed three charge sheets (on April 7, 2009, November 24, 2009 and January 7, 2010).
Amid the trial, the CBI asserted that the trick brought on a loss of Rs 14,000 crore to shareholders of Satyam, while the resistance countered the charges saying the denounced were not in charge of the extortion and all the records recorded by the central agency identifying with the case were manufactured and not as per the law.