Mr Mynampati (pictured) was appointed the interim CEO. --PHOTO: SATYAM COMPUTER SERVICES
HYDERABAD (India) - THE chief financial officer of Satyam Computer Services has submitted his resignation, but the firm's board is yet to approve it, the company's interim CEO said on Thursday.
Ram Mynampati said the liquidity of Satyam's balance sheet was 'not very encouraging now', but added the embattled company had 'healthy receivables'.
US shareholder lawsuit filed against Satyam
WASHINGTON - A US law firm has filed a shareholder
lawsuit against Satyam.
The law firm of Izard Nobel said late Wednesday it filed the suit seeking a class action in New York on behalf of people who purchased the American Depositary Receipts (ADRs) of Satyam Computer Services between January 6, 2004 and January 6, 2009.
Satyam auditor PWC says followed auditing standards
NEW DELHI - PRICEWATERHOUSECOOPERS, the
auditors of Satyam Computer Service[s accounts, said
on Thursday the audit had been carried out in accordance with auditing standards and were supported by appropriate evidence.
'The audits were conducted by Pricewaterhouse in accordance with applicable auditing standards and were supported by appropriate audit evidence,' the firm said in a statement.
The chairman of the outsourcing company resigned on Wednesday saying that profits had been falsely inflated for years, sending the company's shares plunging nearly 80 per cent.
Mr Mynampati was appointed the interim CEO.
He said the company is speaking to its top 100 clients individually, and has received expressions of support from key customers.
Our only aim at this time is to ensure that the business continues,' Mr Mynampati told reporters at a news conference.
He said the company would help investigating agencies and had launched a process to assess its financial position.
Satyam removed from indices Meanwhile, India's leading stock exchanges said on Thursday they would remove the Satyam Computer stock from their benchmark indices in response to the huge accounting fraud at the outsourcing giant.
The Mumbai stock exchange said it would replace Satyam with Sun Pharma in its 30-share Sensex index, while the National Stock Exchange will take the stock out of its Nifty index, replacing it with Reliance Capital.
Both changes come into effect January 12, the exchanges said. -- THOMSON REUTERS, AFP
