Satyam management: We're staying; Unveils crisis plan

Satyam management: We're staying; Unveils crisis plan

Summary: Updated: Satyam on Thursday said its top management team is staying despite the revelation that founder and chairman Ramalinga Raju cooked the books.In a statement, Satyam followed up on a day that included a stunning letter from Raju revealing a $1 billion cash sink hole and other fraudulent acts.

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Updated: Satyam on Thursday said its top management team is staying despite the revelation that founder and chairman Ramalinga Raju cooked the books.

In a statement, Satyam followed up on a day that included a stunning letter from Raju revealing a $1 billion cash sink hole and other fraudulent acts.

The company said:

Ten of the most senior executives of Satyam, including interim CEO Mr. Ram Mynampati, gathered at its headquarters in Hyderabad, have collectively committed not to resign from the company which has approximately 53,000 associates. Approximately 40 other top managers from various geographical regions - known as the "Leadership Council" - have also given their commitment to remain in the company.

The goal of this band of 10 is to navigate Satyam through the crisis and keep customers. The pledges to stay on board from top management are designed to "assuage concerns of various stakeholders in a highly fluid and challenging situation."

It remains to be seen if the current management team can keep customers. The executives sticking around include: Ram Mynampati, interim CEO; Subu D. Subramanian, Head, Manufacturing & Automotive; T.R. Anand, Head of Telecommunications, Infrastructure, Media & Entertainment and Semiconductors; Keshab Panda, Head, Europe, Energy & Utilities; Virender Aggarwal, Head of Asia Pacific, India, Middle East, Africa; Manish Mehta, Head, SAP & Testing Practices; A.S. Murthy, Head, Global Delivery and Global Leadership Development; Murali Venkataramani, Head, Commercial; Hari Thalapalli, Head of Marketing; and S.V. Krishnan, Head of Human Resources.

Update: Satyam held a press conference on its plan to navigate the fraud fallout:

In a nutshell, Satyam management's plan is to:

  • Create a task force to keep the business running;
  • Reach out to customers to assure them that Satyam will meet its business commitments;
  • Assure employees;
  • "Ascertain Satyam's liquidity position';
  • And strengthen corporate governance.

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Topics: Legal, CXO, Enterprise Software, Hardware, Networking, Processors, Telcos

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2 comments
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  • A Robinhood?

    You heard them say all those things they said.
    Here is what I have to say.

    Some of you heard of Raju for the first time and its because he fell and the media likes to talk about those who fall; and you can call a fallen man anything you want to. And you think you have right to do so based on what you now heard about him in the media. Please continue do so if you want to after reading few sentenses below.

    Here are few things that the media is not going talk about much now.
    1. Raju had done significant social service in the impoverished rural areas of Andhra Pradesh.
    2. He started 108 emergency service that literally saves hundres of lives everyday across the state even today.
    3. He started rual BPO centers and created employement in rural communities.
    4. He rose to greater hights in life but never forgot his roots; he helped many in and around his villages.
    5. In India, urban middle and rich classes have all the opportunities. He went to colleges in rural areas and recruited students fromt there and thus gave them a chance.
    6. In India, if you can afford to study Engineering, you have a chance to get an IT job or its is difficult. He started training programs in partnership with governament to train those that are less fortunate and helped them get a job.
    7. Satyam is committed to Hyderabad / AP more than any other IT company.
    8. Satyam helped put Hyderabad on World IT map. Before them, more people used to migrate in search of an IT job.
    9. When Bill Clinton visited Hyderabad, he visited Satyam; he did so because it is a symbol of the success of Telugu people.

    Telugus are proud of Satyam. We will pray for them and hope they will come back to their past glory.

    One of us has fallen today. He admitted his mistakes. Law will do it duty.

    I own shares in satyam. I also lost money. I do not work for Satyam. I am just another Telugu Software Engineer living in Hyderabad.
    Nagesh Tummala
  • RE: Satyam management: We're staying; Unveils crisis plan

    Hello sir, it really seems to be a good article about
    RamaLinga Raju

    The point that i want to add up is before doing that he
    might have thought of the futures of the people who
    played a key role in building satyam


    They are innocent and because of him they are on road
    where they wouldn't be!
    Vinod Ambati