The government-appointed board at Satyam Computer Services is split over a number of issues, including whether Larsen & Toubro should be considered as a suitor for the fraud-hit software services exporter, a leading English daily said in an unsourced report on Thursday.
"The board is learnt to have been split in two camps: government and corporate," the newspaper said, without saying how it got the information.
The paper said some of the six members of the new board objected to engineering and construction firm Larsen & Toubro as a potential Satyam suitor as it could be tantamount to a related party transaction.
A senior official of state-owned Life Insurance Corp (LIC), which is the biggest shareholder in L&T, sits on Satyam's board.
LIC owned 17.4 percent of L&T at the end of last year, stock exchange data showed, and also owns 4.3 per cent of Satyam. L&T has built up a 12 per cent stake and is Satyam's largest shareholder.
Satyam board members could not be immediately reached for comment.
Satyam's board, appointed by the Indian government last month in the fallout from the country's biggest corporate scandal, includes Deepak Parekh, chairman of Housing Development Finance Corp, Kiran Karnik, a former head of outsourcing lobby group NASSCOM, and C Achutan, a former member of the market regulator.
The board began a meeting on Wednesday and is expected to name a new chief and look at options to secure short-term financing to cover staff wages.