Satyam may have forged bank documents

Monday, January 19, 2009, (Hyderabad)
As investigators question Satyam's former chief Ramalinga Raju, sources have told NDTV that the company may have forged bank documents to show inflated cash balances.

As per the sources, Satyam's fixed deposit receipts with ICICI may have been fudged.

All banks have now been asked to check transactions with Satyam to ensure that the books are in order.

On Sunday, Corporate Affairs Minister P C Gupta said that there seemed to have been diversion of funds from Satyam where the facts and figures in the balance sheet didn't quite tally.

CID interrogates Rajus; SEBI petition hearing deferred

Satyam's disgraced former chief B Ramalinga Raju, his brother Rama Raju and former CFO V Srinivas are being questioned by the CID.

They were transferred from Chanchalguda jail to CID custody on Sunday and will be questioned for the next four days by the CID.

However, Raju is armed with a Hyderabad court order, cushioning him from severe grilling and also the police cannot question him in isolation. Raju's lawyers will be present.

Andhra Pradesh Chief Minister YSR Reddy has said that his government welcomes the CID probe.

"We welcome CBI enquiry. we welcome any law enforcement agency to come and investigate any angle in this case," said Reddy.

Meanwhile, the hearing SEBI petition seeking permission to question Raju has been deferred till January 22.