Roots of the indian IT has been shaken and the shine has been replaced by darkness after Satyam chairman resigned acknowledging falsifying of profits during Q2 reports of Satyam... some called him brave, some called him Maddoff of india... and some just called him plain fraud... but what ever he may be... it has raised a big quesiton mark on the truthfulness in the hype create about indian IT industry...
Corruption which had been a major thing across indian politics and government jobs is now visible as a major thing in private sector too... what is the gurantee that othe private sectors also have not done similar things by putting the auditors in their pockets... seems like a scene out of the movie guru where gurukanth desai boldly comes and tells haan maine jahan laath marni thi laath mari aur jahan salam thokna tha salam thoka... aage badhne ke liye... what crap...
Showling surplus in their balance sheets than their real revenue is like ur mom saying haan beta I have made 10 rotis akar khalo and when u sit to eat u get only 2.... 588 crores of bogus accounting in revenue... this is what the chairman showed to the shareholders and when reality came out it was nothing... faked a 24% growth compared to the real 3% growth .....
All this pride we had in ourselves about the great growth of IT sector in india is washed away... I feel ashamed about the company now... and also about the great IT sector hype.
NEGATIVE SPECULATION -- bad bad hope it doesnt happen
I feel sorry for their employees who may not have their jobs tomorrow as clients pull their contracts and stop renewing it for the next year... this is a hundred time more shameful thing for Satyam than the world bank scandal where all satyam employees were banned from its campus for allegedly hacking into the systems...
53000 employees fate now lie into some prospector who would possibly take over Satyam or merge... list of who refused already include HCL, mindtree etc... even if there is a merger or take over bid... the value of satyam has dropped to 20% of its original already... what about the fate of HR, learning and other administrative employees... as any take over means removal of atleast 50% of that strength because of their redundancy...Imagine a stock holders fate... yesterday if he had a lakh rupees of satyam shares it costs him only twenty thousand now...
More NEGATIVE SPECULATION -- I pray even this doesnt happen
Imagine the fate of the board of directors who have to now run their company on debt because the surplus amount they thought is in the banks doesnt exist... and what if bank of america (satyams bank) doesnt give them operating debt... because any corporate debt is to be given only based on a gurantee of return... when the gurantee is not there no loan comes, no loan... no salaries... lay offs... With this economy when a fresher joins IT company for 3 lakhs an annumand say an experienced person at satyam gets 6 lakhs how will other IT companies absorb such large layoff from satyam when they themselves are laying off people? God forbid it doesnt happen, I pray something happens some billionare takes over the company and every thing goes fine...
SATYAM to raha nahi ab nahi shiv rahega nahi sundar...
Madoff just messed up money of some hundred rich guys... but what Raju did is played with fate of thousands of commoners...
I just wish some miracle happens... it is a black day in Indian Corporate history...
