Thursday, January 8, 2009

Satyam Computers Lesson#1 : Greed always kills

Yep, The Satyam Computers has collapsed, the company seems suddenly a big lie . Satyam has grabbed world headlines for some wrong reasons . Greed amd materialistic comforts are the evils driving us to commit frauds . When Raju’s greed took over on Dalaal Street, an tsunami occurred on Main Street .The whole Satyam fraud is just the tip of the iceberg. In a corrupt system the more one dwell into corporate mis- Governance more of Satyam kind will pop-up. Before one can forget Enron,Worlcom,Daewoo .. Satyam has done , which scared one and all . Imagine what will happen if Reliance is investigated ???

Raju shud get capital punishment, if not atleast life imprisonment. if he is let off with meager punishment , others like Raju will get the motivation to do the same or bigger fraud. Raju shud get atleast Rigorous–Imprisonment where he in jail in his striped half-pant (chaddi) be made to work in sun in breaking the stones and that earns him Rs 50 a day . This will for sure teach him a great lesson which he missed studying in his Harvard University .

SEBI shud wake up now and investigate all the Software, Reality, Pharma companies who are presenting 30% profits in every quarter . SEBI and other regulatory bodies shud start auditing all the accounts of top companies .This is an wake up call for Corporate -India , message is straight and simple , set right the house with right governance are fall apart just like Satyam.

Its time SEBI and other regulatory bodies are totally revamped and financial frauds made a criminal offence. We all know how so many financial companies have duped investors, using fictitious offers. The biggest culprit behind the whole episode is the Institute of Chartered Accountants of India. Here is an institute which never reformed itself over several decades and acted in favour of few of big Corporates. Most of the CAs doesn’t have basic knowledge forget updating it. They are just like “Clerks” in some Govt office , always ready to give tips for Tax evasions . The audit profession in India is only "self-regulated" by the CA Institute not like the USA where the auditors are regulated and fined regularly for any oversights . These CA’s employ bunch of fresh Bcom guyz with little auditing knowledge and send them to do the corporate auditing , where the Corporate giants easily manage these vulnerable Freshers to inflate the numbers to match the Balance Sheet . And we know our Joker CA’s sign these audited papers without looking into, over an Double-Malt Imported Whisky . What a shame …. Before arresting Ramalinga Raju these auditors shud be held and tried for duping the innocent investors . All the properties of Promoters , Board Members , Auditors shud be confiscated , and their Bank accounts , passports seized . Hereafter, all financial frauds shud be considered as an Criminal offence ,laws shud ne amended that if proven culprit shud get RI .

In Indian villages Farmers take small loans of Rs 20000- 50000 for purchasing Seed, Pesticides . If harvest is not gud and farmers doesn’t get gud price for crop he commits suicide out of guilt of not repaying debt . Now we have people like Raju who have no shame or guilt in saying that he steal Rs 7000 Cr and have no idea as where this booty has gone and further claims the he or his spouse did not do it for their comforts . India wake Up before its too late , real India is in Villages .


The bigger crook you are, the more respect you will get . And for rich in India the law is always different.Here is a man who has deliberatly tarnished the image of the country and put the life of 53000 employees, 3000 vendors and 20000 stock holders and 600 clients under cloud and still escapes to unknown place. If his mistake is related to so many lives, he deserve hanging .


Humorous part of this story is, Hyderabadi candidates fake CVs, and Hyderabadi Chairman fake Balance Sheets. Nothing surprising … All is gud untill it is caught and exposed .


Anonymous said...

You are right, Auditors should be hanged to death, followed by management and then the investors who were also greedy enough to lure the former to act smart.

Anonymous said...

Hello Raj,

While your articles are ok.I wish you donot use sweeping generalizations like "Hyderabadis fake Resumes and Hyderabadi CEOs fake Balance Sheets"
This is not funny Mr.Gujju.This will create a NORTH-SOUTH Divide and you brainless northindians and westindians(Gujarathis who eat sweets all day and fart and do nothing) will be behind the race in IT and we southindians will split from India and go.Keep shouting against Gandhis and Nehrus thats your problem.
Keep shouting against everything, only you will become sick one day
Bye Hahahahahaha!