CPI asks govt to cancel projects received by Satyam | delhi | Hindustan Times
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CPI asks govt to cancel projects received by Satyam

delhi Updated: Jan 10, 2009 17:34 IST
CPI asks govt to cancel projects received by Satyam

The CPI on Saturday asked the government to cancel all the projects awarded to scam-struck Satyam Computer and confiscate its properties, saying the large number of enquiries now launched against it was like "locking the stable after the horse has bolted". "All the culprits of this biggest financial fraud of the century in India should be arrested, prosecuted and awarded dire punishment," the CPI Central Secretariat said in a statement here.

Describing the Andhra Pradesh government as the "chief patron" of the Maytas Company, it said the state government had awarded "massive irrigation and infrastructure projects" to the firm owned by Satyam chief Ramalinga Raju and demanded that the award of all such projects be cancelled forthwith. "A task force should be appointed to enquire into the failure of regulatory mechanisms and possible frauds by similarly placed companies using the regulatory loopholes," it said and demanded that any solution should protect the interests of the employees and the shareholders. Noting that Satyam promoters had "only less than one per cent of the total stock holdings", it said "with this negligible share, they wanted to use the holdings in Satyam to take over Maytas companies, which are promoted by his sons." The CPI said though this move was rejected and later withdrawn, "people smelt a rat and directors and ultimately the Chairman himself had to resign."

"This is yet another example of the massive frauds and shady deals arising out of the insatiable greed and lust for super-profits that are common and symptomatic in the so-called liberalised free market economy under neo-liberal capitalism," it added.