Zeenews Bureau
Hyderabad, Jan 09: The Securities Exchange Board of India (SEBI) and the Registrar of Companies (RoC) on Friday swung into action by seizing all documents related to Satyam Computers at its Hyderabad office. The Ministry of Company Affairs, which is investigating the case, also said that there will be no separate body to investigate the corporate fraud.
Andhra Pradesh CID has registered a criminal case against Raju.
“Government has seized documents from Satyam premises as also from their record office,” Corporate Affairs Minister Prem Chand Gupta informed the reporters.
Andhra Pradesh Chief Minister YS Rajjshekhar Reddy on Friday distanced himself from ex Satyam chief saying he has no links with B Ramalinga Raju. Reddy was accused of handing out all state projects to Satyam.
On being asked about his intimacy with Ramalinga Raju, Reddy fired back saying “Why are you asking me ask Chandrabau Naidu.” Reddy was referring to the rise of Satyam during Naidu’s regime when it was boom time in the IT sector.
Reacting to Reddy’s remark Naidu defended himself saying, “I was not just promoting Satyam…..I have helped IT sector with no personal interest. Law of the land will deal with Raju.”
Calling Reddy’s remark as unfair Naide fired back saying, “The present government is in collusion with Satyam.”
Satyam also informed its employees that they will not receive salaries for next two months; company in e-mail message asked its staffers to bear with it.
Meanwhile, Andhra Pradesh Chief Minister Y S Rajasekhara Reddy has maintained that the CB-CID is independently probing the financial fraud in Satyam Computers, amid speculations that its founder Ramalinga Raju would be arrested.
The Criminal Investigation Department of the Andhra Pradesh Police has launched
investigation into the Satyam Computer scandal after the state government finally gave the go-ahead on Friday. It has filed a criminal case against Raju.
Director General of Police S S P Yadav will personally
supervise the investigation, highly-placed police sources told
reporters.
The DGP held a meeting with CID Additional Director
General A Sivanarayana, Inspector General (Economic Offences
Wing) VSK Kaumudi and other senior officials and reviewed the
Satyam case.
"The CB-CID had been asked to probe the fraud disclosed by Satyam founder Ramalinga Raju and they were looking into the matter, Reddy told reporters on the sidelines of second day of seventh edition of Pravasi Bharatiya Divas in Chennai.
Police sources said in Hyderabad that pressure was mounting for suo motu action, although they have not received any formal complaint so far.
If whether the state government was looking to withdraw projects awarded to Raju's family promoted firm Maytas Infra, Reddy said, "We are valuating it as everything happened in the last two days".
Raju's lawyer S Bharat Kumar claimed that the Satyam founder was still in Hyderabad and was amenable to the process of law.
On Wednesday, Ramalinga Raju admitted to financial irregularities to the tune of about Rs 7,800 crore at the company before resigning. His brother and managing director B Rama Raju also resigned from the company.
There were also reports that company's Chief Financial Officer Valdamani Srinivas, who put in his papers yesterday, but Satyam denied such reports.
Chief Minister Reddy said the Satyam episode was "unfortunate" and "none of us expected this kind of thing would happen".
On whether his government was contemplating on bailout package he said, "Government of India is looking into it".