SFIO to start prosecution proceedings against Raju, others

Last Updated: Monday, November 16, 2009 - 20:10

New Delhi: The government on Monday said its serious fraud probe arm SFIO will start prosecution proceedings against Satyam founder B Ramalinga Raju and others this month, as there was sufficient evidence of their involvement in the over Rs 10,000-crore scam in the IT firm.

"During this month, the SFIO will begin prosecution on those or those areas of company laws that the SFIO is expected to and have been authorised to proceed with," Corporate Affairs Minister Salman Khurshid told reporters here.

In January this year, Raju had disclosed what became the country`s biggest corporate fraud involving over Rs 10,000 crore. He had, in a letter to Satyam Board, said he had fudged accounts of Satyam Computer and inflated its profit for years.

Besides the Serious Fraud Investigation Office (SFIO), CBI and Enforcement Directorate are also investigating the scam including siphoning of money by Raju and others.

The SFIO will seek prosecution of Raju, his brother Rama Raju, Satyam`s ex-CFO Vadlamani Srinivas, and partners of the company`s former auditor Price Waterhouse -- S Gopalakrishnan and Srinivas Talluri -- would be carried out on 30 charges under different sections of the Companies Act, 1956.

Khurshid said the agency is "dutifully and diligently" pursuing what it is supposed to do in the Satyam case.

The SFIO had submitted a preliminary report in April.

Bureau Report

First Published: Monday, November 16, 2009 - 20:10

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