Raju denies fudging employee figures, fund diversion
Founder and former chairman of Satyam Computer Services B Ramalinga Raju has denied that he fudged number of employees in the company or diverted its funds.business Updated: Jan 27, 2009 21:32 IST
Founder and former chairman of Satyam Computer Services B Ramalinga Raju has denied that he fudged number of employees in the company or diverted its funds.
Raju, who is in jail along with other accused after admitting to a Rs.70-billion (Rs.7,000-crore) fraud, denied the charges in a statement issued on his behalf by his lawyer S Bharat Kumar.
"My client re-affirms that there is no truth behind fudging of employee numbers for diversion of funds. Clarification to this effect has already been provided by Satyam's new board," he said.
The prosecution last week told the court that Raju was showing a figure of 53,000 employees, while only 40,000 existed on the rolls of the company. The prosecutor also informed the court that Raju was drawing Rs.200 million (Rs.20 crore) every month from the accounts of non-existing employees.
Raju also denied allegations of funds being diverted through Mauritius bank accounts and termed them "unfounded".
"My client has already stated in his disclosure that not even one rupee or dollar has been diverted from the company for personal gains," the lawyer said.