Posted by
alfredlester on Wednesday, April 06, 2011 2:36:57 PM
WASHINGTON (AFP) - Satyam Computer Services has Agreed to pay $ 10 million to settle U.S. charges That train top executives inflated the Indian company&&9;s back, the U.S. Securities and Exchange Commission Said Tuesday.
The SEC, in a Complaint Filed in U.S. District Court here, Alleged That form Top Officials at Hyderabad-based Satyam overstated The Software firm&&9;s revenue, and cash balances revenu by more than $ 1 trillion over Five Years.
Theys Used False Invoices and bank statements to inflate Forged Satyam&&9;s cash balances to make more profitable The Company APPEAR to investors, The SEC said.
India&&9;s Satyam shocked corporate world in January 2009 When forming icts chairman and founder B.Ramalinga Raju Admitted He Had Years for overstated profits and inflated the Balance sheet.
The fraud Nearly Pushed Into The Group bankruptcy and Raju, WHO HAD Been one of the stars of The Software That boom has been "a driver of India&&9;s Economic Growth, now faces charges Including conspiracy, cheating and forgery.
Satyam WAS Bought By The mid-sized outsourcer Tech Mahindra, a unit of The Tractors-to-holidays conglomerate Mahindra and Mahindra, in April 2009 for $ 600 million and Is Now Known as Mahindra Satyam.
Satyam WAS traded on Indian Stock Markets Mostly to American depositary shares are traded Were the New York Stock Exchange.
The SEC Said Satyam&&9;s new leadership HAD cooperated With The SEC probe and HAD Agreed to pay a $ 10 million penalty to settle charges the U.S..
In addition, The Company Agreed to train officers are employed and securities laws and Accounting Principles, Improve internal audit functions icts, and hire independent consultant to year Evaluate internal controls.
"The shares of Indian and U.S. Authorities Have Transformed Into a new company Satyam With new management, directors and investors and state-of-the art controls, resulted in criminal charges Against Seven train executives and harmed Shareholders Given The Chance to Recoup Losses," Robert Khuzami, Director of the SEC&&9;s Division of Enforcement, Said in a statement business cards design.
"This comprehensive and thoughtful response underscores The Ability of Regulators Across the globe to Respond to cross-border misconduct in a Coordinated Manner," Khuzami said.
The SEC action is Not The Only Legal disorder facings Satyam In The United States.Satyam Announced last month That It has Agreed to pay $ 125 million to settle a U.S. class action follows.
The SEC on Tuesday aussi Announced That It Was sanctioning five Indian-based affiliates of PricewaterhouseCoopers for deficient audit of Satyam&&9;s Financial Statements and Enabling the accounting fraud to go undetected for Years.
The SEC Said The five affiliates India Agreed to pay a $ 6 million penalty, The Largest Ever Against a foreign-based accounting firm.
Were the Five Identified as PW Lovelock & Lewes affiliates India, Bangalore Price Waterhouse, Price Waterhouse & Co., Bangalore, Calcutta, Price Waterhouse, and Price Waterhouse & Co.Calcutta.
The SEC Said The PW affiliates India HAD aussi Agreed to accept not to "any new US-based clients for six months, we ESTABLISH Training Programs securities laws and revised Accounting Principles and Auditing Policies and Procedures.
"India failed to PW conduite Even The Most Fundamental audit procedures," Said Cheryl Scarboro, Chief Of The SEC? S Foreign Corrupt Practices Act Unit. "Audit Firm Worldwide must take gravement Their critical gate-keeping Duties."
Satyam to pay $ 10 million to settle SEC charges
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