An Indian copy of Enron Corporation with a fraud in the balance sheet and an inflated cash balance, and an Indian copy of Bernie Madoff, What more to say?
The startling revelation from Ramalinga Raju came after the company’s unsuccessful try to buy two construction firms. Moreover World Bank too recently dropped its ties with the company. God! What will happen to the 53000 employees who depend on the company, for their livelihood? The financial fraud at Satyam has left its 53,000 workers in a state of insecurity. Will their jobs be secure or will they be shown the door? If they are given pink slips, it is very difficult to get a successful placement; recession time & the tag of being from a tainted company. Reports say that many of the leading IT firms have advised their recruiting staff against entertaining calls from Satyam employees.
If at all everything turns out fine at the end (rarest chances, experts say) at Satyam, the biggest dent that awaits them would be the ‘trust’ factor of their clients and investors. After such a shocking revelation from the CEO, will any more clients be ready to outsource their projects to the company?