Ramalinga raju biography examples

This was done by providing a single toll-free number accessible from mobile and land line. EMRI has more than 45, employees on its rolls.

Ramalinga raju biography examples: Ramalinga Raju was a chance

Till date 4. All the call-centre activities and support activities for emergency handling were automated. After the Satyam episode, Raju resigned from the Board of Directors. The GVK group then took responsibility to run the institute. It now runs as a free service as a very successful public private partnership PPP model. Just a few months before the scandal broke out, Raju tried to persuade investors by claiming that the company is sound and that past October he surprised analysts with better-than-expected results, claiming that "the company had achieved this in a challenging global macroeconomic environment, and amidst the volatile currency scenario that became reality" [ 18 ].

A botched acquisition attempt involving Maytas in December led to corporate governance concerns among Indian investors and plunge in the share price of Satyam.

Ramalinga raju biography examples: His first business venture was

In his letter, Raju explained his modus operandi to something that started as a ramalinga raju biography examples lie but led to another as "What started as a marginal gap between actual operating profit and the one reflected in the books continued to grow over the years. It has attained unmanageable proportions as the size of the company's operations grew over the years.

Raju may face life imprisonment if convicted of misleading investors. The Government of Andhra Pradesh attached 44 properties belonging to the family members of the promoters of Satyam Computers in the case against Raju. It has now been alleged that these accounts may have been the means of siphoning off the missing funds. Raju was granted bail on condition that he should report to the local police station once a day and that he should not attempt to tamper with the current evidence.

This bail was revoked on 26 October by the Supreme Court of India and he has been ordered to surrender by 8 November In NovemberRaju surrendered after the Supreme Court in August cancelled the bail granted to him by a lower court in Hyderabad, where Satyam is based. According to Indian law, if a chargesheet is not filed within 90 days, then the accused person has a right to obtain Default Bail.

On 28 Octoberthe Enforcement directorate filed a chargesheet against Raju and others. The filed report states that "it transpires that the accused resorted to inter-connected transactions, so as to ensure that crime proceeds were distanced from its initial beneficiaries, and laundered the said proceeds under the cover of the corporate veil, with an ulterior motive to project the properties so acquired as untainted ones".

On 11 Maywithin a month of being convicted, Ramalinga Raju and all others who were found guilty were granted bail by a special court in Hyderabad. The bail amount for R. On 10 January India's capital market regulator has banned global auditing firm Price Waterhouse PW from auditing listed companies in India for two years for its alleged role of collusion with the directors and employees of erstwhile Satyam Computer Services, in perpetrating the country's biggest corporate accounting scandal.

Contents move to sidebar hide. Article Talk. Read Edit View history. Tools Tools. Download as PDF Printable version. What caused the downfall of Satyam and Ramalinga Raju will be subject of debate and research for decades to come. But many believe that it was the hunger and greed for more and his blind desire to help his sons establish themselves as Real Estate developers under the banner of Maytas the reverse of Satyam that triggered the fall as more and more resources of Satyam were diverted to acquire lands and other activities.

He and along with his cronies tried to cover up the declining revenues and profits of Satyam through inflated figures of profit and artificial cash and bank balances.

Ramalinga raju biography examples: Born: September 16, Ramalinga Raju is

It all culminated into the biggest scam of cheating, fraud, forgery and falsifying the company accounts. His health condition worsened in the jail as he was afflicted by serious liver disorder. By Mohammad Siddique, Correspondent. Raju also pledged his own shares to raise money to pay creditors. That gigantic hole in the balance sheet had to be plugged before the next quarterly results were reported.

SCS had struggled in the July-Sept quarter.

Ramalinga raju biography examples: Ramalinga Raju christened his fledgling

It looked likely to make losses in Oct-Dec It did actually make losses according to recast accounts. It would be logically difficult to explain to investors why SCS was borrowing, ramalinga raju biography examples it had huge cash reserves. Sharper scrutiny of the accounts would, of course, lead to a can of worms being unearthed.

Raju tried a desperate gamble. The Raju family also controlled an infrastructure and construction company, Maytas Satyam spelt backward. Maytas was run by Raju's son, Teja. Maytas was reasonably profitable and it had been used to make an ambitious real estate play. Maytas had offered to build the proposed Hyderabad Metro for free it actually offered to pay the state government for the privilege.

Land along the proposed alignment of the metro had been bought by hundreds of shell companies, mostly incorporated in Mauritius. It could be assumed that the value of that prime real estate would multiply several times over once the metro started. Raju proposed that Satyam would use its reserves to buy Maytas. In effect, the non-existent cash in SCS's reserves would be handed over along with some real cash to buyout the controlling stakes of the Raju family in Maytas.

The Raju family would in fact, continue to control both Satyam and Maytas, via their control of Satyam. The problem of missing SCS reserves would be resolved because that money which did not exist would be shown as "paid" to the Raju family. Eventually, when the Maytas metro deal fructified, the real estate play would generate more than enough cash to replace all the fraudulent reserves.

So this was the planned sequence of events on December 17, when Raju presented the plan of buying Maytas to the Satyam board. The Board cleared this proposal despite the strange concept of an IT company taking over a construction firm with no apparent synergies. But institutional shareholders kicked up an huge fuss about this deal. Raju realised that he couldn't force this deal through.

Raju's next attempt to find a way out of this chakravyuha was to find a buyer for Satyam itself. Byrraju Foundation and the Satyam Foundation earned him reputation through various projects, especially the medical emergency services in Andhra Pradesh and other states. It remained the fourth largest IT services firm for a long time with operations through the parent company and subsidiaries in as many as 65 countries.

The trouble for Satyam began in December when it announced plans to buy two Maytas firms owned by Raju's sons. He had to call off the deal within hours due to opposition by the shareholders. The share price started tumbling. The same month World Bank blacklisted Satyam for eight years on grounds of data theft and bribing bank officials. After the scam, Tech Mahindra took over Satyam Computers in a government-sponsored auction and the new entity was named Mahindra Satyam.