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GROUP MEMBERS

Names Roll No

Tanya Jaitly 37Nidhi Singh 38

Rahul Singh 39

Nilesh Singh 40Priyanka Banka 41

Daniel Solomon 42


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About

Satyam Computer Services Ltd. was a leading globalbusiness and information technology services

company that leveraged deep industry and functional

expertise, leading technology practices, and an

advanced, global delivery model to help clientstransform their highest-value business processes and

improve their business performance.


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Ramlinga Raju was born on September 16,1954 at Bhimavaram in Andhra Pradesh, India

After passing B.Com from India, he did hisMBA from Ohio University, USA.

He founded Satyam Computer Services Ltd.on 24th June 1987, after venturing earlier into

other businesses such as construction andtextiles.

Its headquarters is at Hyderabad, India.

Ramalinga Raju

Founder+CEO


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The company had started with 20 employees

who obtained contracts for IT projects, mostly

from US companies. Satyam rapidlydeveloped and became a multinational

company with thousands of employees spread

over many countries.

Satyam's presence spans over 60 countriesacross six continents.


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- Citisoft, a highly specialized European business and

systems consulting firm.

- Knowledge Dynamics, a high-end consulting solutions

provider in Business Intelligence.


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The company offered consulting and Information

Technology (IT) Services spanning across various

sectors and included following products, Engineering

Product Development (EPD), Hi-Tech Solutions

(HTS), Geographical Information Systems (GIS),

Supply Chain Management (SCM), Client

Relationship Management (CRM), Business Process

Reengineering (BPR) and Business Intelligence (BI),

to name a few of them.


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1987

- Incorporated as private limited company

1991

- Offshore software project with John Deere & Co.

(Satyams first Fortune 500 customer announced)

- Recognized as a public limited company;debuts on the Bombay Stock Exchange (BSE)


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1993

-Satyam signs joint venture with Dun & Bradstreet for

IT Services

-Awarded ISO 9001 Certification-Satyam Technology Center (STC) inaugurated

1999

-Assessed at SEI CMM Level 5-Satyam Infoway (Sify) becomes the first Indian

Internet company listed on NASDAQ

-Presence established in 30 countries


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2000-Associate count reaches 10,000

2001-Satyam becomes worlds first ISO 9001:2000company to be certified by BVQI

-Listed on the NYSE (SAY)

-Entered into a long term calibrations agreement withCenter of cellular and molecular biology


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2002

-Satyam BPO launched in Hyderabad-Satyam Computer Service ltd a leadingglobal IT firm, on Aug 8 2002 announced asigning of an agreement with Saint-Gobain

Abrasives.


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2003- Jurgon Technology appointed SatyamComputer for State of Art Enterprise resource

planning solutions.-World Bank gives outsourceing contract toSatyam Services.

-Satyam solution Bag national IT award for

best packaged application-Company has signed a multi-year agreement

with American International technology

Enterprises.


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2005

- Largest Global development center outside India (in

Melbourne) begins operation

- Citisoft and Knowledge Dynamics acquired

2006

- Sets up the first Global Innovation Hub in Singapore

- Sets up operations in Guangzhou, China


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2007-Satyam becomes the Official IT Services Provider for

the FIFA World Cups, 2010 (South Africa) and 2014

(Brazil)- Opens Global Development Center (GDC) in

Malaysia

- Becomes the first Asian company to feature in the

Training Magazines list ofTop 125 companies forlearning


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2008- Adopts new tagline Business Transformation.Together.

- Enters agreement to acquire S&V

Management Consultants, a Ghent, Belgium-basedsupply chain management (SCM) consulting firm

- Becomes the first company to be invited by theNational Stock Exchange (NSE) to ring the openingbell

- Enters into a definitive agreement to acquire Chicago-based Bridge Strategy Group

7th January 2009 - Ramalinga Raju , MD and Chairman ofSatyam Computer has resigned from his post and acceptedthat he has done fraud in the balance sheet of the company.


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Until 7th Jan 09 morning, Satyam was perceived to be amongst

the top Indian IT vendors, and all those associated with it were

peacefully engrossed in their jobs, till company ChairmanRamalingam Raju resigned after notifying board members and

the Securities and Exchange Board of India (SEBI) that

Satyam's accounts had been falsified through a letter.

He admitted to an accounting fraud to the tune of 7000 crorerupees or 1.5 Billion US Dollars

Satyam had engaged PricewaterhouseCoopers as its auditors

over past 10 years, whos role is doubtful.

Satyam fraud and confession


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SATYAMs Chairman, Ramalinga Raju was clear

with the fact that U.S Government was suspecting

that some fraud is being committed by Satyambranches in U.S and that U.S Government is

seriously enquiring about those facts.

So he decided to confess his crime in India becausehe knew that he would be severely punished by the

U.S Government and that he had no influence out

there.


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"What started as a marginal gap between actualoperating profit and the one reflected in the books ofaccounts continued to grow over the years. It has

attained unmanageable proportions as the size ofcompany operations grew significantly (annualisedrevenue run rate ofRs 11,276 crore in the Septemberquarter of 2008 and official reserves ofRs 8,392crore). As the promoters held a small percentage of

equity, the concern was that poor performance wouldresult in a takeover, thereby exposing the gap.

The aborted Maytas acquisition deal was the lastattempt to fill the fictitious assets with real ones.


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Inflated figures for cash and bank balances of

Rs 5,040 crore (as against Rs 5,361 crore

reflected in the books).

An accrued interest ofRs. 376 crore which

was non-existent.


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An understated liability ofRs. 1,230 crore on

account of funds was arranged by himself.

An overstated debtors' position ofRs. 490

crore (as against Rs. 2,651 crore in the books).

Every year inflated figures were presented in

the accounts showing huge profits and non-

existent bank balances, because of which the

share prices increased every year.


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Raju claimed in the same letter that neither he

nor the managing director had benefited

financially from the inflated revenues. Heclaimed that none of the board members had

any knowledge of the situation in which the

company was placed.


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SEBI and Company Law Board instituted an

enquiry into the affair of Satyam and then

many more skeletons tumbled out of Satyamscupboard.

This revealed the facts: .


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On increase of the prices of the shares Raju

and his associates sold their shares of Satyam

at huge profits.

The funds of the company were diverted to Maytas

company which was owned by his son.

Satyam funds were misused to buy Land, Buildings

and Real Estate properties in the name ofRajus

close relatives and his friends.


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Raju had also opened multiple benami (dummy)

accounts through relatives and friends and used them

to trade in Satyam's shares, violating the insider

trading norm. It has now been alleged that theseaccounts may have been the means of siphoning off

the missing funds.

It was found that the actual number of employees

was only 40,000 and not 53,000 as reported earlierand that Mr. Raju had been allegedly withdrawing

Rs. 20 crore every month for paying these 13,000

non-existent employees


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According to him it was like riding atiger, not knowing how to get off

without being eaten.


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Raju is currently held in Hyderabad's

Chanchalguda jail on criminalcharges including fraud, forgery,

cheating, embezzlement and insider

trading.


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Satyam Loses 46 Customers to Rivals (Economic TimesReports) Applied Materials Inc., Nissan Motor Co., SonyCorp., State Farm Mutual Automobile Insurance Co. toname a few - Dt. 17-Mar-09.

Numbers drop from 600 to less than 400 customers


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In June 2009, the companyunveiled its new brand identityMahindra Satyam subsequent to

its takeover by the MahindraGroups IT arm, Tech Mahindra.

Tech Mahindra paid US$351

million for a 31 percent majoritystake in the company andMahindra Satyam was born.

Anand Mahindra, Vice

Chairman & Managing

Director, Mahindra Group

The way forward


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"We are looking at the rebirth of

Satyam as Mahindra Satyam. CEO

Gurnani

Newly-appointed CEO Gurnani, as

part of a charm offensive, is traveling

the world over, trying to reassureexisting customers and win back those

who abandoned Satyam.

C. P. Gurnani, CEO,

Mahindra Satyam

New Vision..


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24 new customers including automotive giants

and chemical manufacturers were added.

Bagged order of pharmaceutical giant GlaxoSmith Kline to provide SAP critical system

support


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