Wednesday, January 07, 2009
Satyam = truth, (Psst! someone tell Mr. Raju)
By now Mr. Ramalinga Raju will have sunk to the depths of infamy for his concealing a small sum of 5000 crores (actually he cooked up 5000 crores, they were never there in the first place)that have been telecast non stop on all TV Channels from mid day. I know that the size of the scandal has astounded you as it did me.
A few questions persist despite the matter been ripped to shreds by every reporter worth his salt.
1) Many people in the lendng business by way of experience can spot a funny or suspicious balance sheet by a simple analysis. For poor mortals like me whenever there came a suspicious set of financials we could send it to a reputed firm of auditors who track the veracity of the documents. Many a time such funny documents get caught.
2) From question 1, when Satyam had so many bankers and each bank has its own resident experts would have had access to the financials, how come no one saw the big picture?
3) From question 2, the auditors of Satyam from Pricewaterhouse Coopers, (I got that from the web and am reasonably sure of its accuracy) have certified the financials. Shame on you PWC, is that why people look up to the big four?
4) Last question to Mr. Raju, why? From the entrepreneur of the year to a mere mortal who found the crooked way better.
I heard a comment on radio recently, that when you die you take nothing with you , not even your name or your body, you are just a DEAD body.
P.S. This post was written from Hyderabad, it was weird to be there when the news of Satyam came out.