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Market regulator Securities and Exchange Board of India already has ordered an enquiry into the issue to find out if Raju has violated the various regulations pertaining to dealings in securities market.
The regulator would look into various statutory violations, which include unfair trade practices, insider trading regulation and take over code. The enquiry would be conducted by a SEBI General Manager, Sunil Kumar, who had been designated as investigating authority.
Under the SEBI Act, imprisonment and monetary penalty could be awarded "if any person contravenes or attempts to contravene or abets the contravention of the provision of this Act or of any rules or regulations made there under".
This would mean that Raju could be punished for violating the securities regulation and as well as for abetting officers of Satyam to commit financial fraud, corporate law practitioners said.
In addition to violation of the SEBI norms, Raju can also be tried for other offences like misappropriation of funds and breach of trust under various sections of the Indian Penal Code and Companies Act.
More significantly, noted Supreme Court lawyer Fali S Nariman said that the country needs to put in place system to check such corporate frauds and financial irregularities.
"It has grave implications on corporate morality... It is disquieting that it is happening all over the world. I am very disturbed and its a very bad sign," he added.
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There is no end to greed. The current worldwide financial turmoil that one sees is due to the greed of the people to enrichen themselves at the cost of faceless others. See Lehman Bros, see Madoff, see Satyam, etc etc. Who suffers - like always - the common man. The buck stops with us and not where it should. This is financial terrorism and kills softly, silently and without blood on anybody's hand
These are the terrorists. These are the real ones. I am scared more of these sophisticated terrorists than the one who shows a gun upon me. Imagine how many people he has murdered. How many familieis he has destroyed for good. How many babies and toddlers are crying? The world is suffering from capitalism terrorism. We need to find brtutality of capitalistic terrorism? Why people are not shouting? Why now people are mum? How come police has not arrested him in terrorism charges? What is the bigger crime than this? Tell me. Does India got hit by greater terrorism than this? What is the comparison? The tragedy of Mumbai looks nothing in front of this terrorism. How many American families are destroyed by Enron terrorism? Where is the limit? Are these humans coat and trouser and tie? Ah. Speak up boys. He will be charged with only 25 crore ruppes. Nonsense. He should be hanged to death with all his property and assets should confiscated. That is it.
Why only ten years and 25 crores for looting people of thousands of crores. Is th balacne his commission for cheating people.
Why is this so surprising ? Indian companies have been following unethical practices in US for years now. And it is not only Satyam. Infosys, Polaris and others do it too...including IBM India.Resumes are all false. Degrees and years of experience are lied about. Somebody else gives a phone interview for sombody else. Online tests like "Prove It" are taken by others instead of the candidate. Candidates are paid a higher salary on paper and then they have to return back a certain portion of their salaries to their employer.I recently heard that a grocery distributor in US called "House of Spices" was sponsoring H1 visas for IT professionals. Wonder how US immigration service let that get through.It is a question of ethics. Not the degree of crime. A small unethical step today could easily mean a bigger crime later.
If such people, who are supposed to be visionary leaders who set path for others to follow, commit such fraudulant act in the name of corporate governance, then its hard to predict the future of our country and its people...such kind of overstating of balance sheets and income statements, windowdressing and misleading its investors is not acceptable...the chairman had only disclosed the fraud when it became inevitable. I stongly feel that this act should not be overlooked since the critical condition of the employees and workers are at stake and it has also affected the stock market conditions